RIL To Dilute Stake As Deccan 360 Eyes New Investors – Reliance Industries will dilute its stake in freight services firm Deccan 360, which is battling rising operating costs and low business volumes. While RIL will not invest more as the company has not met milestones, Gopinath is looking to raise funds either from private equity players or strategic investors. RIL, which invested Rs 100 crore in the firm in April last year, is also open to sell its stake if the Deccan 360 found a good buyer. (Economic Times)
Westbridge Auctioning Applabs Stake – Private equity firm, Westbridge Capital, could exit part or all of its 50% stake in Hyderabad-based technology firm, Applabs, as one of the early funds from which it invested in the company has run its term and the accrued gains have to be shared with the fund’s investors as per the mandate. Applabs is a niche technology player focused on providing software testing services to enterprises. Applabs has received several bids from financial investors as well as IT firms. If the valuation does not match its expectations, it could sell only a part of its stake which it invested from a fund started in 2000. (Economic Times)
ICICI Bank In Talks For Nigerian Banks’ Recapitalisation – Nigeria’s Spring Bank said on Tuesday it was in recapitalisation talks with several possible investors including India’s ICICI Bank and U.S.-based private equity firm Cloudleap Partners. Spring Bank is one of nine lenders rescued by the central bank in a $4 billion bailout in 2009. (Reuters)
Essar To Exit Africa Telecom Biz – After exiting telecom businesses in India, the Essar Group is following suit in Africa. The telecom service operations it acquired from Warid Telecom in Uganda and Congo are being returned and the group is looking for a buyer for its Kenya operations. The Indian steel-to-outsourcing conglomerate no longer views telecom as core or strategic. In March, Essar agreed to sell its 33% stake in Vodafone Essar , India’s third-largest telecom operator, to UK-based Vodafone. (Economic Times)
Eye-Q Vision To Raise $10-15M PE Funding – Gurgaon-based Eye-Q Super-Specialty Eye Hospitals, an eyecare chain that’s focused on small towns and cities, has issued a mandate to o3 Capital to raise at least $10-15 million (around Rs.45-65 crore) for an ambitious expansion. Eye-Q, which runs 10 hospitals in Uttar Pradesh, Uttarakhand and Haryana, wants to expand its network to 23 before the year ends and to 50 in three years as it enters Gujarat, Maharashtra and Punjab.
ING Vysya Raising Rs 980Cr Through QIP – ING Vysya Bank, the private sector lender in which Dutch financial giant ING Group owns a 43.9% stake, is raising up to Rs 980 crore through a combination of preferential issue to its foreign promoter and private placement to institutional investors, commonly known as QIP. The bank, that has a market capitalisation of Rs 4,148 crore, will raise Rs 524 crore through the QIP route. The bank will also issue fresh shares of Rs 456 crore to the Amsterdam- headquartered ING Group. (Economic Times)
Nippon, Sumitomo To Continue Partnership With Tata Post Merger – Nippon Steel and Sumitomo Metal, the two Japanese steelmakers which are merging to create the world’s second largest steel company, are likely to retain long-standing ally, Tata Steel, as their lone partner in India. They may compensate the second partner, Bhushan Steel, to avoid possible project duplication and competition issues. (Economic Times)
GVK To Conclude Australia Buy Next Month – Hyderabad-based GVK Power and Infrastructure is likely to sign a multi-billion dollar deal to acquire two coal assets in Australia by next month. GVK Power and Infrastructure, owned by billionaire GVK Reddy, has been negotiating with Hancock for acquiring its two coal assets — Alpha Coal and Kevin’s Corner. The value of the deal is expected to be over $3 billion. (Business Standard)