WestBridge hikes stake in decorative laminates firm Greenlam

Private equity firm WestBridge Capital Partners has increased its stake in Greenlam Industries Ltd, a company spun out of its existing portfolio firm Greenply Industries Ltd. The transaction, which was closed last week, is estimated to have cost the PE firm around Rs 33 crore ($5.3 million).

WestBridge held 9.85 per cent of Greenlam, through a vertical demerger of the unit as a separate company. Greenlam got listed on the bourses early this month and its shareholding pattern mirrored that of Greenply.

This comes within weeks of the PE firm hiking its holding in interior decor products maker Greenply Industries by shelling out around $10 million. In a similar transaction, it had acquired 3.02 per cent additional stake through an off market transaction raising its total shareholding in Greenply Industries to 12.8 per cent.

WestBridge had first acquired a stake in Greenply Industries from Volrado Venture Partners and Kotak India Focus Fund II for around $18.79 million in early 2013.

Other investors in Greenply include Citigroup and former chief of ChrysCapital Ashish Dhawan, who is the single-largest non-promoter individual investor in the firm with 9.82 per cent stake.

Founded in 1990, Greenply Industries manufactures, markets, distributes and brands a range of residential and commercial floor products. Greenply Industries' products include decorative laminates, decorative veneers, plywood, block board, medium density fibreboard and restroom cubicles.

Greenlam, the flagship decorative laminate brand from Greenply, is exported to more than 70 countries.

(Edited by Joby Puthuparampil Johnson)

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