Reliance Digital TV, the fully-owned subsidiary of Reliance Communications that runs its direct-to-home (DTH) operations, would merge with Sun Direct to become India’s second largest DTH company. Under the deal, to be announced in a few days, Reliance Communications (RCom) would have 26% stake in the merged entity. The merged company would also take over about Rs 1,500 crore of debt from Reliance’s DTH operations. As part of the deal, Sun Direct would later go for an initial public offering. Reliance would then exit the merged company. RCom has valued the 26% stake at around Rs 1,500 crore. (Business Standard)
Adventz open to diluting upto 49% in UAE fertiliser project: The Adventz Group-promoted Rs 4,500-crore integrated diammonium phosphate and complex fertiliser project at Ras Al Khaimah in the UAE is planning to offer up to 49% stake in the project. The placement could be made to a few foreign companies and sovereign funds. The project would be executed in the debt-equity mix of 70:30. The project is being executed by the group’s agro company Zuari Agro Chemicals Ltd. (The Economic Times)
The Mobile Store set to raise funds: With growing smartphone sales bucking the slowdown trend, The Mobile Store is investing more in the ‘lounge’ format to provide an ‘experiential’ ambience for potential customers with its range of handsets. The Essar Group-promoted mobile phone retailing company will be converting its existing 100 stores into the lounge format and also adding another 50 to further sales for its core category. The company is looking to raise funds through debt and equity. (Business Line)
McLeod Russel plans for acquisitions in Africa, Vietnam’: Mcleod Russel India Ltd. is planning for acquisitions. The company is looking at acquiring plantations in Africa and Vietnam, whenever the opportunity comes. Currently, the promoters holds 45.71% stake in the company. (Business Line)
Eight apply for 25% stake in GSPC & Adani’s Mundra LNG terminal: Eight entities have shown interest in acquiring a 25% stake in Adani Enterprises and Gujarat State Petronet Corporation’s liquefied natural gas (LNG) terminal in Gujarat. Among those which have filed an Expression of Interest (EoI) are India Gas Solutions, the joint venture (JV) of Reliance Industries and BP; Oil and Natural Gas Corporation, GAIL India, Petronet-LNG, Indian Oil Corporation, Torrent Energy, Japan’s Mitsui & Co and Toyota Tsusho Corporation. The terminal is being set up under a JV of GSPC and Adani Enterprises Ltd (AEL) at Mundra in Gujarat’s Kutch district. It has been scouting for a strategic investor for 25% stake. (Business Standard)
Indian IT companies in race to buy Spanish firm Accelya: Top Indian IT companies are said to be in race to buy the Spanish IT firm Accelya, sources familiar with development suggest. Accelya Kale, the erstwhile Kale Consultants, which is owned by Accelya is on the block as the parent wants to sell out completely. Indian IT firms TCS, Genpact, WNS are the likely suitors for buying the company. Valuation expectation for Accelya, which specializes in IT services for airlines, is about $350 million. Accelya has appointed Morgan Stanley and BNP Paribas to run the sale process. Accelya Kale is a subsidiary company of Accelya Holding World SL, wherein they hold 74.66% stake. (The Economic Times)
GoAir scouts for foreign partner, Qatar Airways may emerge frontrunner: Budget carrier GoAir is in talks with several foreign airlines to sell up to 40% in the Wadia-Group owned airlines. Gulf and Asian airlines such as Qatar Airways, Kuwait Airways, and Tiger Airways are the likely contenders although Qatar Airways is likely to emerge as the frontrunner. The news of GoAir scouting for a foreign airline comes days after Tigerair, which is also a low cost airline with flights within AsiaPacific, is in advanced stages of discussion to acquire 24 per cent in the Chennai-based SpiceJet. GoAir has already appointed bankers for the strategic stake sale. (Firstpost)
Leave Your Comment
7 years ago
Manoj Tirodkar-led GTL Infrastructure Ltd may hold over 33% stake and will be the largest shareholder in the proposed combine with ADAG Chairman Anil Ambani’s...
11 months ago
ADAG Chairman Anil Ambani’s Reliance Infratel (R-Infratel) and GTL Infrastructure have agreed to a Rs. 50,000 crore (US$ 11 billion) deal to create the world’s...
3 months ago
This is the first in a series of monthly articles where we will analyse the most prominent merger or acquisition deal of the month. The...