Arcil To Pick Up Stake In Spic - Asset Reconstruction Company of India Ltd (Arcil), which is engaged in the business of resolution of non-performing loans (NPLs), is set to acquire a substantial stake in Spic, a Chennai-based manufacturing company active in fertilizers, biotechnology, tissue culture, polymers and engineering. Spic is also raising about Rs 50 crore through a preferential allotment of shares to a promoter group firm. Spic informed the stock exchanges that its board has approved the issue on a preferential basis in one or more tranches, from time to time, by way of conversion of Rs 30 crore of the company’s debt due to Arcil, into 1.66 crore equity shares of Rs 10 each at a price of Rs 18 per share, including a premium of Rs 8 per share in accordance with SEBI regulations. (ET)
RJ Corp To Sell 10% Stake To PE - Food and beverage (F&B) entrepreneur Ravi Jaipuria, who is PepsiCo’s largest bottler in India, is in talks with private equity funds to sell a 10% stake in the holding company RJ Corporation. He hopes to raise around $150 million through the sale. Jaipuria, who was earlier talking to PE funds to dilute stake in his PepsiCo bottling business to fund buyouts and capacity expansion in India, is now looking to sell minority stake in his holding company. RJ Corp controls various subsidiaries such as Devyani International, Devyani Food Industries and Varun Beverages, which are present in branded F&B business in the country. (FC)
Indian Hotels Offloads Entire Stake In ELEL Hotels - Indian Hotels Company Ltd (IHCL) has offloaded its entire stake in ELEL Hotels & Investments Ltd, which owned Sea Rock Hotel in Mumbai. The company, which runs the Taj Group of hotels, had picked up 85% stake in ELEL in June last year at a cost of Rs 680 crore. IHCL informed the stock exchange that it has restructured its shareholding in ELEL for strategic reasons and will continue to have an operating and management contract and a technical services agreement with ELEL to develop the Sea Rock. (Business Line)
MTNL Revives Bid To Enter Overseas Markets - State-run Mahanagar Telephone Nigam Ltd (MTNL) has revived its plans to enter overseas markets. This move comes after the appointment of Kuldip Singh as the new chairman and managing director of the company. The company now hopes to enter Africa by acquiring a new licence or buying an operator. Last year, the telecom operator had earmarked Rs 500 crore for overseas acquisitions. It had prequalified for Nigeria’s firm Nigeria Telecommunications Ltd (Nitel), and will submit a bid on February 15. (BS)
Worbus To Launch $500M SME Fund - US-based Worbus International, an international M&A consulting and investment banking firm, plans to launch India specific fund of $500 million to invest in small and medium enterprises (SMEs) segment. The company has been focusing on M&A, joint ventures and private equity funding deals in the SME segment in the country, and expects to launch the fund by April this year. (FC)
Godrej Consumer Products To Close Few Acquisitions - Godrej Consumer Products Ltd (GCPL), the fast moving consumer goods company, is close to making a few acquisitions in household care, personal wash and hair care space. The company managing director Dalip Sehgal says it will complete first few acquisitions very soon, that will be in personal wash, hair colours and household care categories. The company is also scouting for opportunities in Africa, Asia and North America. (DNA)
DLF Chairman Sees Consolidation In Realty Space - K P Singh, chairman of India’s largest realty firm DLF, expects that the real estate sector would witness a wave of consolidation with some players likely to suffer from the glut, as happens normally in a business cycle. He also believes that despite a clear pickup in economic activity, turbulence in the country’s real estate industry is far from over, as oversupply of residential and commercial units will continue to haunt the sector in the coming 12-18 months. He feels the government needs to attach more importance to this sector as it is one of the largest employment generators and is considered a major growth engine. (ET)
