Singapore-based Nalanda Capital, which invests in listed Indian companies, has increased its holding in mid-sized IT services firm Mindtree by 0.7% to 6.03% through open market transactions.
It bought the additional stake for Rs 20 crore ($4.3 million) taking its overall investment till date to over Rs 101 crore, at an average acquisition price of Rs 429/share.
Its existing holding at current market price is valued at Rs 162 crore. It is sitting on an unrealised upside of 60% on this 10-month-old investment.
Nalanda initially bought into Mindtree in February this year, buying close to 2% stake from VC firm Walden International (a pre-IPO investor who is gradually diluting its holding) at a low price of Rs 212 per share. Since then, it has been hiking stake in Mindtree. In the latest deal, Nalanda bought around 2.8 lakh shares from Walden at Rs 686/share.
Walden, incidentally, also sold another chunk of around 2 lakh shares to unknown buyers on Thursday. It has cut more than a third of its holding over the last one year.
Nalanda, a $400-million fund headed by former Warburg Pincus India MD Pulak Prasad, has been one of the most active PE investors picking small minority stakes in Indian listed companies. It also invested in Aztecsoft which was acquired by MindTree in one of the biggest deals in domestic IT space.