US private equity firm TPG Capital is to sell part of its stake in Indian commercial vehicle financier Shriram Transport Finance Co Ltd to raise about $300 million (INR 1,622 crore), according to a term sheet. TPG, which owns about 20 per cent of Shriram Transport, is selling the shares for 715 rupees to 755.95 rupees, a discount of up to 5.4% on Wednesday’s closing price. While TPG’s stake in Shriram Transport will fall to about 10% on the planned stake sale, it may sell a larger stake. Goldman Sachs is the book runner for the deal. (The Economic Times)
HUDCO to raise up to INR 2,805 cr through tax-free bonds: The State-owned Housing and Urban Development Corporation (HUDCO) is looking to raise $518.5 million (INR 2,805 crore) through the second tranche of its public issue of tax-free bonds. In the first tranche, which was launched On January 9 and closed on February 7, the company had raised INR 2,195 crore. The second tranche would open from tomorrow and close on March 15, 2013. The issue size is INR 500 crore with an option to retain over-subscription up to INR 2,805 crore. The company would utilise the issue proceeds for lending purposes, working capital requirements, augmenting resource base of the company and other operational requirements. (Business Line)
LIC Housing plans to raise at least INR 2 bn via bonds: LIC Housing Finance Ltd. is looking to raise at least INR 200 crore ($36.85 million) through two-year bonds at 9.39%. HSBC is the sole arranger to the deal.
HDFC plans to raise at least INR 2.5 bn via bonds: Housing Development Finance Corp. is looking to raise at least INR 250 crore ($16.06 million) through one-year one-day bonds at 9.62%. HSBC is the sole arranger for the bond sale.
Essar firms to start diluting promoter stake: The Ruia family, promoters of Essar Ports and Essar Shipping, is planning to start offloading their stake in the respective companies in order to comply with the requirement of Securities and Exchange Board of India (Sebi) requirement of maximum 75 per cent holding in companies. The companies have to complete the process by June 30. The promoters were ready to reduce their holding, and were evaluating all options, including institutional placement programme (IPP), offer for sale (OFS) and bulk tendering along with direct sale in the market. Currently, promoters hold 80.30% stake in Essar Ports, while promoters hold around 83.71% in Essar Shipping. (mydigitalfc.com)
Globsyn in talks with VCs to finance regional movies: Globsyn Technologies, the Kolkata-headquartered group with diverse interests in software technology, knowledge and education, skills development and IT infrastructure, is in talks with a number of leading private equity (PE) and venture capital (VC) funds for introducing what it calls ‘structured financing’ into Bengali and other regional movies and putting up a full scale, state-of-the-art studio facility. Globsyn Media Ventures, an arm of the group created for the purpose, is also keeping a separate provisioning from its own coffer to finance two to three such movies per year, to start with. (mydigitalfc.com)
ICICI Venture hires JLL to sell Express Towers stake: ICICI Venture (I-Ven), the private equity firm, has started the process to exit Express Towers, the iconic building in Nariman Point here, owned by the Indian Express Group. According to sources, I-Ven has hired a real estate advisor, Jones Lang LaSalle, to find buyers for its significant minority stake. I-Ven acquired a 49% stake in the the 25-storey building in 2008 for about INR 350 crore. The remaining stake is held by Viveck Goenka, chairman and managing director of the Indian Express Group. The PE firm is eyeing a valuation of INR 500-600 for its stake. (Business Standard)
RedBus eyes $20 mn via PE route: Bangalore-based Pilani Soft Labs, which runs online bus ticket booking portal redBus.in, is looking at raising $20 million through the private equity route. The company had raised $6.5 million in Series-C funding in May 2011 from Helion Venture Partners, SeedFund and Inventus Capital Partners. (Business Standard)
ArthVeda Fund eyes INR 250 cr from two new funds: Alternate fund management company ArthVeda Fund Management is planning to launch new funds under its portfolio management scheme (PMS) and alternate investment fund (AIF) category, from which it expects to garner around INR 250 crore from investors. The fund house from Dewan Housing group will also launch its third fund under the offshore advisory category going ahead and all the schemes will be based on ‘ArthVeda Alpha L50’ investment strategy, which is a form of value investing to give higher returns with low risks. The fund would launch the scheme under PMS category in the second week of March. (The Financial Express)