Lakshmi Vilas, Shriram In Talks To Buy CitiFinancial – Lakshmi Vilas Bank (LVB), the south-based, old private sector lender, is in talks with Citigroup to acquire Citi Financial Consumer Finance India, the struggling non-banking finance company which gives retail loans to low-income borrowers. LVB has hired investment bank JM Financial to carry out due diligence of CitiFinancial, which has a Rs 9,000-crore balance sheet, 116 branches and close to 1,600 employees. LVB board recently cleared a proposal to float a wholly-owned housing finance subsidiary. (Economic Times) Shriram City Union Finance is also in active discussion with Citi Financial India for a complete buy. It is learnt that Shriram has already appointed Bank of America-Merill Lynch as the investment banker. (Moneycontrol)
NCC Infra To Divest 49% Stake To Genting – Hyderabad based NCC Infra Holdings, a fully owned subsidiary of Nagarjuna Construction, is planning to sell 49% stake in thermal power firm NCC Power Projects Ltd. to Malaysia’s Genting Group. The company is already in final stages of talks to sell the stake and the deal would be announced next week.
JSW To Sell Stake To JFE For Rs 4,500Cr – Billionaire Sajjan Jindal-promoted JSW Steel is likely to announce a stake sale to Japan’s second-largest steel maker, JFE, after about eight months of discussion. The company said on July 27, its board would consider issue of shares on a preferential basis to a strategic investor. JFE has been in talks with JSW to buy a 14.9% stake at Rs 1,600 a share, which would translate to Rs 4,500 crore. (Business Standard)
Mantri Plans Project Level PE Stake Sale – Mantri Developers wants to take the private equity route to raise funds for its upcoming projects. The company plans to launch two-three million sq ft of residential space development this year in Bangalore across four projects, and another project in Chennai. The estimated cost for the four upcoming projects in Bangalore is about Rs 3,000 crore. The company has no IPO plans for the next few years. (HinduBusinessLine)
iLogy Healthcare To Sell 49% To PEs – Healthcare solutions start-up iLogy Healthcare is looking to dilute upto 49% of promoter equity to bring on board a private equity partner. The company is looking at further verticalising its offerings in the health informatics, pharmaceuticals, content management, medical communications and knowledge consulting spaces as part of its expansion. (BS)
PFC Eyes Bank Buys – Power Finance Corporation (PFC), currently designated as a non-banking financial company, is considering the option of acquiring a bank or picking up stake in one, as the RBI is drafting guidelines on new banking licences. The PFC board has cleared the appointment of a consultant to conduct necessary due diligence on the venture. (HBL)
Bharti To Make Open Offer For Zain Zambia – Bharti Airtel will make an open offer to buy the remaining 22% stake in Zambia’s leading telecom entity, Zain Zambia. Sunil Mittal-led Bharti Airtel acquired the African business of Kuwait-based Zain in a $10.7 billion-deal, which was completed in June. As part of the transaction, the firm bought Zain’s operations in 15 countries, including Zambia. Bharti Airtel has already acquired a 78% stake in Zain Zambia. (ET)
TPG, Vishal Rush Deal – In a bid to pre-empt a rival offer by Kishore Biyani’s Future Group, US-based private equity firm TPG Capital Lp sought to rush through a deal to acquire the assets of beleaguered discount retailer Vishal Retail Ltd on Thursday, but a formal agreement proved to be elusive. TPG and Vishal agreed in principle on the terms after day-long efforts to reach a deal, but the retailer’s creditor banks deferred a decision. (Mint)