Mindtree founders in talks to sell stake; China’s Gionee divesting India unit
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The promoters of mid-size IT services firm Mindtree Ltd are in early talks with Japanese IT company NEC Corporation and a large global private equity fund to sell their entire stake in the company, Mint reported citing two people in the know.

As on 31 March 2018, the promoters held 13.37% stake in Mindtree, while the rest remains in the public domain, data on the stock-exchange shows. The market capitalisation of Mindtree is around Rs 16,000 crore.

The promoters have been negotiating with potential suitors for over a year, one of the persons mentioned above told Mint.

Bengaluru-based Mindtree counts Nalanda Capital, Amansa Holdings and VG Siddhartha, managing director of Coffee Day Enterprises Ltd, as its shareholders. The firm’s promoters comprise co-founders Subroto Bagchi, Krishnakumar Natarajan, NS Parthasarathy and chief executive Rostow Ravanan, the report said.

Bank of America Merrill Lynch is advising NEC Corp on the deal, according to the report.

However, Mindtree said in a tweet that the report was "completely false".

Gionee India

Pardeep Jain, promoter of Karbonn Mobiles’ holding entity Jaina Group, has partnered with Arvind Vohra to acquire 74% stake in the smartphone brand Gionee India from its Chinese parent, The Economic Times reported citing three senior industry executives.

The deal size could be around Rs 200-250 crore, which includes Rs 125 crore for brand licensing, the report added.

Arvind Vohra and his family are minority shareholders in Gionee India, holding about 26% stake, the report said.

Gionee’s Indian partners will be able to use the smartphone brand for 10 years and will also have to pay royalty and brand licencing fees to the Chinese firm, the ET report added.

Gionee established its India operations in 2012 and is headquartered in New Delhi.

David Chang, global sales director of Gionee Communication Equipment Co., Ltd, has been heading the firm’s India operations after Vohra stepped down as chief executive officer last year, the report stated.

Picostone Technology

Home automation solutions startup Picostone Technology Pvt. Ltd has raised $803,200 (about Rs 5 crore) in equity and debt funding from US-based early-stage investor Metaform Ventures and angel investors in India.

The Mumbai-based company plans to use the funds for research and development, recruiting people and promoting its products, it said in a statement.

Picostone was incorporated in 2016 by Virang Jhaveri, Niket Sarvaiya and Priti Jain. California-based Metaform is led by angel investor and serial entrepreneur Nilesh Javerchand Jain.

*This article has been updated to add Mindtree's comment and Picostone funding.

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