Bharat Oman Refineries Ltd, a joint venture between Bharat Petroleum Corporation and Oman Oil, is close to signing up with banks for a INR 2,500-crore ($459.99 million) loan as it aims to bring down the cost of funds. The six-million-tonne refinery will refinance its existing loans at 60 to 70 basis points lower than its current cost of funds. Lenders have agreed to refinance the loan at a lower rate since the refinery was commissioned in 2011. (Economic Times)
Clariant Chemicals plans to sell business: Clariant Chemicals India Ltd. is looking to sell its businesses of textile chemicals, paper specialties and emulsion together with assets currently dedicated to the respective business of the company for total consideration of INR 209.15 crore ($38.48 million). The company has received the approval from its board for the proposed sale. (BSE)
Prime Focus to bid for Hollywood company Rhythm & Hues: Prime Focus, the special effects and 3D company, has thrown its hat in the ring to buy a bankrupt Hollywood visual effects company best known for bringing to life Ang Lee's Oscar winner Life of Pi. Prime, which has emerged as one of the few key visual effects studios in Hollywood, will jostle with India's Prana Studios and Psyop to buy Rhythm, which filed for bankruptcy recently. Last week, Prime Focus raised $10 million from Asian private equity fund AID Capital Partners to part finance the bid, which if successful will help the company expand its visual effects capacity with its studios in LosAngeles, Hyderabad and Mumbai and can cater to the growing Asian and European film market. (Economic Times)
Cognizant may buy Belgian unit: Tech firm Cognizant has emerged front runner to acquire Belgian Bank KBC Group's captive unit ValueSource Technologies. It is the stated intent of KBC Group to look for strategic partners for ValueSource, which is active in the Indian ICT market. Cognizant has commenced due diligence exercise on ValueSource. TCS and HCL Technologies are also in the fray for the proposed acquisition. (Times of India)
ONGC to award CBM stakes soon: State-run Oil and Natural Gas Corp Ltd (ONGC) will shortly award stakes in its four coal bed methane (CBM) gas blocks to “experienced” energy firms. Three entities UK-listed Great Eastern Energy Corp Ltd, Brisbane-based Dart Energy Ltd and a consortium of Jindal Steel and Power Ltd and Deep Industries Ltd have bid for these blocks. ONGC plans to farm out 35-45% stake in each of the four CBM blocks Jharia and Bokaro blocks in Jharkhand and North Karanpura and South Karanpura assets in Raniganj, West Bengal. ONGC is selling stake in one block to two players. ()
Tata Steel plans to raise $1 bn through dollar-denominated bonds: Tata Steel Ltd. plans to raise as much as $1 billion (INR 5,434 crore), selling high-yield bonds. The company is in talks with banks to arrange the sale. The banks may be hired by early next month and proceeds from the sale will be mainly used to refinance loans. The Mumbai-based company separately is also raising money for it's new factory in the eastern state of Odisha. ()
Brick Eagle plans to invest $50 million in Indian real estate firms: Brick Eagle Capital Advisory, a private equity fund headquartered in Hong Kong, is planning to invest around $50 million (INR 271.7 crore) in real estate firms in India. The private equity firm, which recently invested into a real estate company which has launched its first project in Chennai, is focusing on investing capital into affordable housing and providing technical expertise for companies enabling them to develop affordable housing. The firm has already committed $50 million to various projects in the sector and is expected to close it within the year. Brick Eagle Capital recently invested in Sheltrex Housing Pvt Ltd, a company which focuses on developing technology enabled real estate projects.
redBus.in being valued at $110M: Pilani Soft Labs, the Bangalore-based company running redBus.in, the online bus ticketing service, is finalising its next round of fund raising at an aggressive valuation of as much as 11 times net revenue of close to INR 55 crore, thus valuing the company at $110 million (around INR 605 crore). The deal is nearing the final stages, in which global private equity player Warburg Pincus is also in the fray. Avendus Capital is advising Pilani Soft Labs on this transaction. The company is targeting to raise $20 million in a primary and a secondary transaction, enabling it to provide an extremely healthy exit to SeedFund, its early investor. ()