The Tata group’s offer to buy the Coffee Day Group’s vending machine business has hit a hurdle with top-two lenders -- Yes Bank and Rabobank -- rejecting to grant no-objection certificate (NOC) until their entire dues are cleared, two people in the know told Mint.
“The deal requires NOC from 14 lenders. Most of them have in-principle agreed to grant NOC, except Rabobank and Yes Bank. The coffee vending business, along with a few other assets, were collateralised with these lenders for the loan that is worth at least Rs 300 crore,” said one of the two people.
Tata Consumer Products Ltd had proposed to buy the coffee vending business for at least Rs 1,000 crore.
“As part of the proposal submitted by Tata group, it has agreed to first pump in Rs 600 crore and subsequently pay Rs 400 crore or more after assessing the degree of revival in cash flows in the coffee vending business post the buyout,” said the first person.
Vini is looking to raise up to Rs 1,500 crore ($200 million) through a combination of primary and secondary share sales at a valuation of about Rs 8,800 crore ($1.2 billion), The Economic Times said citing two people aware of the development.
“The fundraise may see founder-promoter Darshan Patel dilute about 10% and another 5% stake sale by existing investor Sequoia Capital,” one of the persons cited above said.
Sequoia Capital owns a 15% stake in the company while WestBridge Capital has 20%, and the rest is owned by the promoters.
“Besides the new investor, existing investor WestBridge Capital may participate in the next round of fundraising,” the other person said.
Meanwhile, fintech firm Cred has raised $80 million (approximately Rs 589.15 crore at current exchange rates) in a fresh funding round from a clutch of existing high-profile investors, TechCrunch reported.
The round, reportedly a Series C for Cred, has been led by DST Global, with participation from Sequoia Capital and Ribbit Capital, the report said, citing three people aware of the development.
This fresh infusion gives Cred, operated by Dreamplug Technologies Pvt. Ltd, a valuation of $800 million, nearly two times the $450 million valuation it received after it raised $120 million (around Rs 862 crore) in Series B funding.
Cred raised $30 million even before its formal launch in a funding round led by Sequoia. RTP Global and Ribbit Capital had also invested at the time. The company offers a members-only rewards programme based on their credit card payments.
In another development, kids-focussed edtech startup Udayy is in an advanced stage to raise up to $3 million (Rs 22 crore) in its seed round of funding, an Entrackr report said quoting two people aware of the development.
“The term sheet has been signed at a post-money valuation of up to $10 million (Rs 73 crore),” said the other.