PNB, Carlyle shelve plan to sell stake in PNB Housing Fin; Nykaa may raise funds
Photo Credit: Shah Junaid/VCCircle

Public sector lender Punjab National Bank and private equity firm The Carlyle Group have shelved their plans to sell stake in PNB Housing Finance Ltd after a fall in valuation of the company, The Economic Times reported, citing people aware of the development.

Punjab National Bank told the financial daily that the stake sale is not scrapped.

Punjab National Bank holds 32.79% stake and The Carlyle Group 32.36% in the company.

PNB Housing shares closed at Rs 877 apiece on Tuesday, giving the company a market value of about Rs 14,600 crore. The shares have fallen after touching Rs 1,428 apiece in August.

In July, Punjab National Bank and The Carlyle Group initiated a joint strategic sale process to offer a minimum 51% stake in PNB Housing.

PNB Housing had shortlisted seven bidders in the first round after getting non-binding offers from over 20 suitors, according to the report.  

Separately, beauty e-tailer Nykaa is in preliminary discussions with Japanese telecom and internet conglomerate SoftBank Group Corp. to raise $150-200 million, Mint reported.

Citing two people aware of the development, the report said the proposed transaction will value Nykaa at $700-800 million.

Run by FSN E-Commerce Ventures Pvt. Ltd, Nykaa was founded in 2012 by investment-banker-turned entrepreneur Falguni Nayar, who was managing director at Kotak Mahindra Capital. Nykaa sells products for women and men across categories such as skincare, hair care, fragrances and bath and body.

In September, mid-market private equity firm Lighthouse invested Rs 113 crore ($15.7 million) through a secondary transaction in Nykaa.

In May, Nykaa closed its Series D round involving its existing investors at Rs 165 crore ($24 million). The round saw primary investment and exit of Nykaa’s early-stage investors.

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