Private equity firms General Atlantic and Oak Hill Capital Partners have once again pressed the part-exit button and they are now selling half of their combined 9.7 per cent stake in the business process management and technology services company Genpact Ltd. As per current market price, the share sale may fetch around $182 million.
Each PE firm is selling 2.4 per cent stake, as per a regulatory disclosure filed with the US securities regulator SEC.
Last year, the two investors sold a combined 30 per cent stake in Genpact in one of the biggest PE deals in recent times. The stake was sold to Bain Capital and GIC for around $1 billion.
Coupled with their other part-exits since Genpact went public in 2007, the two investors have together encashed around $1.62 billion till date (for more details click here) and with the latest share sale, they will hit the $1.8 billion mark. Their remaining stake is valued at another $182 million.
General Atlantic and Oak Hill have together invested $500 million in Genpact (earlier called Gecis) and bought the stake from GE over eight years ago. Genpact, which functioned as GE's back office unit till then, opened up to offshoring contracts from other MNCs after that deal. It is currently the largest Indian BPO with more than 60,000 employees spread across 20 countries.
General Atlantic’s previous part or full exits from India portfolio companies included strategic sale of Patni Computer Systems Ltd to Apax-backed iGate and Infotech Enterprises Ltd. The PE firm recently roped in Sandeep Naik as its new India head from Apax Partners.
Oak Hill has also minted money as an early investor in Indian IT/ITeS sector. Besides a part-exit from Genpact, it had also exited Exl Service Holdings Inc last year with a multi-bagger.