BhartiAirtel, plans to sell minority stakes in its landline and enterprise businesses as part of an exercise to cut debt. The company is learnt to be looking at an enterprise valuation of about INR 17,000 crore ($3 billion) for its fixedline unit and about INR 6,500 crore ($1.15 billion) for its enterprise business. The Sunil Mittal-promoted telco has already sounded out potential investors, but is yet to sign non-disclosure agreements with either strategic or PE investors, one of the executives quoted. The exact quantum of the stake sale has not been decided yet, but it would be less than 50%. The executive said the stake sale in the fixedline business would happen first and the enterprise unit much later, maybe after 12-18 months. Last month, Bharti Airtel had entered into a deal to sell a 5% stake to Doha-based Qatar Foundation for INR 6,796 crore in order to bolster finances that are weighed down by a debt of $11.7 billion (INR 63,839 crore). (The Economic Times)
ONGC, Shell set to split $6billion gas buy: Oil and Natural Gas Corporation (ONGC) and Royal Dutch Shell will equally split the prized 20% stake acquisition in Rovuma basin gas block in Mozambique, after the sellers decided to court individual buyers due to difference in priorities. The stake on offer is valued between $5-6 billion. Indian conglomerate Videocon Industries, which is selling 10% shares, wants to maximize the value and US based Anadarko Petroleum, the operator of the block, is offloading an equal stake but wants a pedigree global partner with better track record and execution skills. ONGC is the frontrunner to pick up the Videocon stake while Royal Dutch Shell might end up buying Anadarko shares. The Videocon stake sale to ONGC may be announced next month. Anadarko sale to Shell is likely to take more time. (The Times Of India)
Balmer Lawrie in talks to acquire travel company: Diversified public sector company Balmer Lawrie plans to acquire a domestic tour company and has initiated talks with a mid-sized player to give a push to its existing travel division. The Kolkata-based PSU, which has a monopoly over air-ticketing for the government and also has a major presence in the public sector companies space, plans to strengthen its leisure packaged tour business, particularly in overseas holiday destinations. The tour operator with which we have initiated talks has a presence in Europe and Far East tour segment. (DNA)
IOC to raise $ 750 million in foreign loans: State-owned Indian Oil Corp (IOC) is planning to raise $750 million (INR 4,219 crore) in foreign loans to part fund its INR 11,277 crore ($2 billion) capital investment planned for this fiscal. Besides ECB, the firm is also raising INR 1,000 crore – INR 2,000 crore ($177.7 million – $355.6 million) from Indian bond market. The rest of the capex will be funded from internal accruals. (The Economic Times)
Allcargo looking for US acquisition: Allcargo Logistics has initiated a move for an acquisition in the US market. The company would be looking at a mid-sized company of about INR 50 crore ($8.8 million) in the non-vessel owning common carrier segment. The company offers less-than-container load (LCL) services to exporters and importers. (Business Line)
PFC looking at ‘substantial stake’ in a public sector bank: Government-owned power sector lender, Power Finance Corporation, is looking to acquire equity stake in a public sector bank. PFC has written to the Ministries of Finance and Power expressing its interest to pick up “substantial stake” in a public sector bank. The stake that would allow PFC to add a board member. The company reported a 58% increase in its net profit during the fourth quarter of 2012-13 at INR 1,294 crore (INR 818 crore). (Business Line)
Snap Fitness to raise $10 million to fund expansion: Bangalore-based Snap Fitness India, the Indian master franchisee of Minneapolis, US-based fitness chain Snap Fitness, is in the process of raising a $10-million (approximately INR 55 crore) growth fund to fuel its expansion in the country. The company is working with PricewaterhouseCoopers for the fund-raising exercise. The company expects to close the deal within the next one year. The proceeds would be used to meet our mandate of opening 300 centres – 100 company-owned and 200 franchisee-operated – in the next five years, including 10 each in Hyderabad and Chennai. (Business Standard)
Fomento Resorts plans for stake sale: Mrs. Anju A. Timblo, one of the promoters of Fomento Resorts and Hotels Ltd. is planning to sell an aggregate of 3,268,500 equity shares representing 20.43% of the equity share capital of the company on May 31, 2013 exclusively through the Seller’s broker on the separate window provided by the BSE for this purpose. Centrum Broking Ltd. is the manager to the issue. (BSE)
Sale of Promoters holding to meet the Minimum Public Shareholding: Dr. Murthy Mutyala , one of the promoter of the company is willing to sell his shares in the Secondary market to comply with the MPS requirement in B2B Software Technologies Ltd. Murthy is proposing to divest 50,000 Shares from his present shareholding in the company. The disinvestment to meet the requirement of MPS is expected to be completed on or before June 03, 2013. (BSE)
Sharda Motor plans to sell stake: Mr. Narinder Dev Relan, Mrs. Sharda Relan, Mr. Ajay Relan, Mrs. Mala Relan, Mr. Rohit Relan and Mrs. Ritu Relan form part of the promoter and the promoter group of Sharda Motor Industries Ltd. are looking to sell up to 2,85,000 equity shares representing 4.79% of the total paid up equity share capital of the company. The Offer shall be undertaken exclusively through Seller’s Broker on a separate window provided by the BSE for this purpose. SPA Securities Ltd. is the manager to the issue. (BSE)
Promoters of Modern India plans stake sale: Mr. Vijay Kumar Jatia, Mrs. Gauri Jatia, M/s. Vijay Kumar Jatia HUF, Mr. Vedant Jatia, Mr. Sidhant Jatia, Mr. Mudit Jatia, M/s. Shree Rani Sati Investment & Finance Ltd. being promoters of Modern India Ltd. are looking to sell up to 41,86,113 equity shares on May 31, 2013, exclusively through the Seller’s broker on the separate window provided by the BSE for this purpose. Anand Rathi Share and Stock Brokers is the manager to the issue. (BSE)
Readymade Steel plans for acquisition: Readymade Steel India Ltd. plans for acquisitions. The company is looking to acquire Kridhan Infra Solutions Pvt. Ltd., a company under the same management engaged in Mechanical splicing system and couplers, subject to approval of shareholders as may be required. The board has authorized Mr. Satyajit Das, executive director of the company to do all such acts, deeds and things as may be necessary and handle all matters connected thereto including valuation of the target company and submit to the board for final approval. (BSE)
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