The promoters of Kota-based coaching services provider Resonance Eduventures are in discussions with private equity firms to sell a controlling stake in the company to repay debt owed to PE firm KKR, a report in The Economic Times stated, citing three people in the know.
“The company was unable to raise money via IPO and is now looking at a secondary stake sale to raise capital to repay KKR,” one of the people mentioned above told ET.
The promoters have to repay KKR about Rs 800 crore and will sell more than 76% of their holding in the firm, the report added, citing the persons mentioned above.
In 2017, two PE firms, IBOF Investment Management Pvt. Ltd and CLSA Private Equity Management Ltd, had exited their investment in Resonance Eduventures. The PE firms had initially backed the company in 2010-11.
Resonance was founded in April 2001 by RK Verma, an IIT Madras alumnus, in Kota, Rajasthan.
Vatika Hotels eyes business expansion
Vatika Hotels Pvt. Ltd, a subsidiary of real estate developer Vatika Ltd, is in discussions with 4-5 private equity firms to secure Rs 750 crore, a report in The Economic Times stated, citing three persons in the know.
The company will use the capital to further expand its operations in its hospitality and facilities management businesses and will add more business centres, the persons mentioned above told ET.
Vatika will increase the number of rooms of the Westin group of hotels that it owns as well as its business centres. It may also buy distressed hotel properties and refurbish them. It plans to add more space to its existing facilities management arm Enviro and acquire more facility management firms to further boost its business in North India, the report added.
In 2014, an affiliate of investment banking major Goldman Sachs had acquired a 21.12% stake in Vatika Hotels for Rs 255 crore. In 2016, VCCircle reported that Goldman Sachs was considering selling its stake in the company.
Pfizer selling Tamil Nadu factory
Drugmakers Baxter and Zydus Cadila have initiated preliminary discussions to buy Pfizer’s factory at Sriperumbudur, Tamil Nadu, The Times of India reported, citing several people in the know.
The deal may value the facility at Rs 700-900 crore, the report added.
“The transaction is in the early stages and may be completed over the next three to five months. At present, there is no production at the factory. Most of the employees have also been seen off. Internally, the factory is ready for sale,” the persons mentioned above told ToI, adding that the sale is being handled by Pfizer’s US parent.
Pfizer bought the Sriperumbudur factory when it acquired pharmaceuticals major Hospira in 2015, the report stated.
Pfizer is also looking to sell its factory in Aurangabad, the report added.