Two-year-old Gurgaon-based share custodial services firm Orbis Capital Ltd is buying out 4.16% stake not held by it in its subsidiary Orbis Financial Corp in a share swap deal.

Financial services firm IDFC had picked 13% stake in Orbis Capital three months back along with zero coupon bonds that would give it cumulative stake of around 26%. IDFC had reportedly struck the deal at Rs 22 crore that valued the parent firm Orbis Capital at Rs 84.6 crore.

VCCircle learns that the deal is through a share swap where Orbis Capital will buy out shares owned by promoter Atul Gupta besides a foreign firm Torino Enterprises and those held by two NRIs Prashant Kothari (held jointly with Sujata Cowlagi) and Vinod Sethi in lieu of issue of its own fresh shares.

Torino owns 2.09% while Kothari owns 1.55% with the residual owned by the other two individuals. Orbis Capital owns 95.84% of Orbis Financial Corp. Post share swap, IDFC’s holding in Orbis Capital that stands at 13.02% at present will dilute to 12.5%.

Promoter Atul Gupta will own 53.06%, marginally less than 55.285 he owns currently. The chartered accountant and SAP consultant whose firm started operations last year has a management consulting, corporate finance, treasury and the financial services industry experience. He had earlier founded stockbroking outfit Orbis Securities Pvt Ltd (since exited) in 1995 and has also authored a book Guide to Project Financing.

Orbis Financial Corp’s website says it provides services such as custody, clearing & settlement, depository, margin lending admin, PF & beneficiary accounting, stock lending, cash management, fund accounting, customised reporting, ESOP financing arrangement. Orbis Capital is reportedly also planning a subsidiary in Singapore to serve private bankers with links to India.

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