Tata Power is in early-stage talks with IDFC Private Equity Fund-owned Green Infra Ltd to merge the renewable energy assets of both companies. The transaction, if consummated, will create India’s largest renewable power producer. IDFC PE has appointed investment banker Lazard to examine different options to raise capital, including a merger. Tata Power and IDFC Private Equity will play the role of promoters. Further Tata Capital’s PE fund and Tata Communications could invest in the new renewable energy company. Tata Capital PE fund will play the role of a financial investor, exiting when the time is ripe, while Tata Communications’ investment would be linked to an assured supply of power to run its towers. (The Economic Times)
NCC in talks for stake sale in Himachal hydel project: Construction and infrastructure company NCC Ltd has reportedly sold a part of the stake in the 100 MW hydro power project in Himachal Pradesh to an Abu Dhabi-based company. The Hyderabad-based company, which is also in talks to divest stake in some of the road projects, expects to close a couple of deals before the end of the current financial year. (Business Line)
ICICI venture to raise $1 bn by year end: ICICI Venture, the private equity fund of ICICI Bank, is currently in the market to raise around $1 billion by end of the year for two new funds that would scout for investments in infrastructure and in special situations. The $500-million special situations fund AION is a joint initiative with global bulge bracket fund Apollo Global Management. Recently, the fund sold its residual stake in Arch Pharma to Mitsui & Co, a diversified trading group from Japan. (The Economic Times)
Syndicate Bank to raise INR 1,500Cr equity capital: State-owned Syndicate Bank is looking to raise INR 1,500 crore ($280 million) equity capital from the market after getting approval from the government. The banks also plan to INR 2,000 crore through Tier II bond issue. The board has already cleared the proposal in this regard and the bank will raise it depending on the market conditions and also anticipate the government to infuse some capital. (The Economic Times)
Eureka Forbes to increase stake in Lux International: Home appliances major Eureka Forbes, a subsidiary of Forbes & Co, is understood to be in advanced negotiations with Switzerland’s Lux International to increase its stake and take complete control of the company. Lux, a direct selling multinational company, sold a 25% stake in the company to Eureka in 2010, and has been in talks to sell more stake to the Pallonji Mistry group company. KPMG is handling the transaction, and the stake sale is estimated to be worth INR 600-700 crore. In 2007, Lux International also signed a joint venture with Eureka Forbes India to help both companies expand their global direct sales activities in Asia. The deal under discussion will allow Eureka to buy out 50 per cent in this JV as well. (The Economic Times)
NYSE Euronext may exit MCX: NYSE Euronext (NYX) which acquired 4.79% stake in the Multi Commodity Exchange (MCX) in June 2008, may exit India’s largest commodity exchange. The exit by the diverse financial market group will give over 100% profit in less than three years on its investment in MCX. Since the investment was made prior to the exchange’s IPO, the deal if takes place will only be announced after completion of one year of the IPO which may happen in around second week of March. NYSE Euronext had acquired 39.07 lakh shares from the promoter group at INR 559 a share aggregating Rs 218crore at an enterprise value of above $1.1 billion. The share acquisition was announced completed on July 2, 2008. (Business Standard)
Pfizer may value Strides unit at INR 10k Cr: Big Pharma Pfizer Inc could value the sterile injectables unit of drug maker Strides Arcolab at up to $1.88 billion, or roughly INR 10,124 crore, for a potential acquisition. Pfizer’s discussions with Strides Arcolab to acquire the latter’s unit, Agila Specialties , is at a fairly advanced stage. Bloomberg reported last month that Pfizer along with rivals Mylan Inc and Novartis AG are bidding for Agila, which has the most number of regulatory approvals for generic injectables in the US market in recent years. Strides Arcolab has been working with investment bank Jefferies & Co to explore a sale of the unit for a while, and so is in talks with Pfizer and others. (The Times Of India)
LuLu group chief Yusuffali MA seeks RBI nod to buy 4.99% stake in CSB: One of the richest Indians in the Gulf is knocking on the doors of the Reserve Bank of India (RBI) to buy a minority stake in Thrissur-headquartered Catholic Syrian Bank (CSB). Kerala-born Yusuffali MA, who heads the $5.5-billion LuLu group that owns the eponymous hypermarket chain in the Middle-East, has sought the central bank’s permission to purchase 4.99% stake from Sura Chanrichawla the Bangkok- based businessman who controls the single largest bloc of shares in the unlisted bank. The proposed transaction will help Chanrichawla to bring down his holding in CSB closer to the 10% cap set by RBI, from 18% he currently owns. (The Economic Times)
Gillette India plans to sell stake: The promoters of Gillette India Ltd. are looking to sell stake in the company to increase its public shareholding to 25%, as directed by the market regulator Securities and Exchange Board of India (Sebi). Sebi has made it mandatory for the promoters of listed companies to prune their holding to a maximum of 75% by June this year. The promoters, along with Procter & Gamble India Holdings B V, currently hold 88.76% stake in personal products maker. (BSE)
Leave Your Comment
11 months ago
Sembcorp Industries Ltd has agreed to buy out private equity firm IDFC...
3 years ago
Singapore-based infrastructure firm Sembcorp Industries is buying 60 per cent...
3 years ago
Private equity funds keenly invested in the Indian infrastructure sector in 2009...