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PE-VC Exits
hit all time high in 2017 on back of Buoyant Public Markets
IT Cos deliver most exits; Share of M&A exits decline
Private Equity exits in India touched an all time high of $13.7
Billion (across 276 deals) during calendar year 2017 - 38% more
than the $9.9 Billion registered in the previous high in 2015,
Venture Intelligence data shows. The exit value was also 57%
higher than $8.7 Billion (across 268 deals) registered in 2016.
The exit value includes $7.7 Billion of Complete Exits and $6
Billion in partial ones. These figures - which include exits
from Venture Capital type investments and exclude exits from
Real Estate investments - take the total realization by PE-VC
firms in the five year period starting in 2012 to about $42.6
Billion (across 1,232 transactions).
32 exits - i.e. 12% of the total deals - were over $100 million
in value and accounted for 65% of the overall value harvested
during the year. Building on its strong run on the exits front
in 2016, KKR notched up the largest PE exit of 2017 when French
company Altran Technologies acquired its engineering services
portfolio company Aricent for a total enterprise value of $2
Billion. (KKR and Sequoia Capital India had acquired 85% stake
in Aricent - then called Flextronics Software Systems -
In 2006 for a total of $765 million. Subsequently KKR had
invested more into the company.) The second largest exit deal in
2017 (by value) was Tiger Global’s partial exit from Flipkart
by selling shares worth a reported $800 million to SoftBank
Vision Fund. (Tiger Global had invested about $1 Billion in
Flipkart across multiple rounds starting from Dec 2009 when the
firm was valued at $42 million).
The third largest exit was the $720 million stake sale by Apax
Partners in IT Services firm GlobalLogic. Apax Partners sold
half of its 96% stake in GlobalLogic to Canada Pension
Plan Investment Board (CPPIB). (Apax Partners had acquired
GlobalLogic for $420 million in 2013.)
SoftBank was also provided the exit of SAIF Partners from
Paytm by buying stake worth $400 million.
IT & ITeS companies produced the most exits in 2017 delivering $6.2 Billion across 62 transactions. IT companies accounted for 45% of the value pie and 23% in terms of volume. Top IT exits in the year were those of Aricent, Flipkart, GlobalLogic and One97 Communications. IT & ITeS was followed by BFSI and Healthcare & Life Sciences companies.
Public Markets &
Secondary Sales overtake Strategic Sales
2017 witnessed investors offloading shares worth over $5.3
Billion via the public markets across 154 transactions. 18 out
of the 22 PE-backed IPOs in 2017 saw PE investors selling as
part of the IPO. (2016 had witnessed 16 PE-Backed IPOs, of which
PE investors sold as part of 15 issues.). Over 70% of the PE
Backed IPOs happened in the second-half of the year. Strategic
sales were relegated to third slot in terms of exits taking a
back seat to both Public Market sales and Secondary Sales.
Private Equity Fund Investments
Vatika Group raises Rs.800-Cr
structured debt from Piramal Finance
Economic Times
Gurgaon-based real estate firm Vatika Group raised INR 800 crore from
Piramal Finance as structured debt for supporting the growth plans of
one residential and two hospitality projects in Gurgaon. The company has
raised around INR 200 crore for its housing project on Dwarka Expressway
and around INR 600 crore for its hotels Westin Gurgaon and Westin Sohna.
Property consultant CBRE was the transaction advisor for the
deal.
The Vatika Group had raised around INR 1,600 crore in three transactions
in December 2016. It had raised INR 700 crore from another NBFC Altico
Capital, INR 425 crore as construction finance from Piramal Fund
Management and INR 495 crore from Axis Bank.
Alibaba to invest $100-M in
XpressBees Logistics
Economic Times
China’s Alibaba Group Holdings is to pick up a significant minority
stake in logistics company XpressBees by making an investment of up to
USD 100 million. XpressBees is the logistics business spun out of baby
and maternity products retailer FirstCry. Investors in XpressBees
include SAIF Partners, IDG Ventures India, NEA, Vertex Ventures and
Valiant Capital, who may sell a part of their stake in the deal.
XpressBees saw its revenue go up by 121% in FY 2017 to INR 185.42 crore
while losses grew 61% to INR 57.71 crore.
From the Venture Intelligence PE/VC Deal Database:
Starting in Nov-15, XpressBees has raised about $28.4 M across three
rounds from investors including SAIF, Vertex Ventures, IDG Ventures
India, Kris Gopalakrishnan, Outbox Ventures, Valiant Capital and Paytm.
(Subscribers to the database can login to view the valuation, deal
structuring and other transaction details.)
Realtor Supertech
raises Rs.430-Cr from Altico; repays Rs.70-Cr to
Indiabulls
Economic
Times
Altico Capital has invested INR 430 crore in a
mixed-use project being developed by property
developer Supertech in Noida. Supertech will use
INR 70 crore of the raised funds for repaying
the loans taken from Indiabulls Group. Altico's
investment will be used to develop Supertech's
Capetown project in Sector-74, Noida, which
includes ORB and CapeLuxe Towers. The project
has around 11 million sq ft, of which around 5.5
million sq ft has been delivered and possession
has been handed over for over 4,300 units.
NBFC
firm Ess Kay to raise Rs.200-Cr; BanyanTree to
exit
Media Release
Ess Kay Fincorp Limited has attracted INR 200
crore through a combination of primary issuance
and secondary sale of shares to Norwest Venture
Partners, Baring Private Equity India and
Evolvence India Fund. Through this transaction,
the existing investor BanyanTree Growth Capital,
has completely exited the company. Spark
Capital acted as the exclusive financial
advisor to the company for the transaction.
Ess Kay, founded in 1994, provides used vehicle
finance and SME (Small and Medium Enterprises)
finance to customers in rural and semi-urban
India. It funds used CVs/Tractors/Cars and
provides business loans to SMEs. EssKay operates
through a network of ~240 branches in 6 states
has an AUM of ~INR 11 Bn with ~75,000 customers.
The company expects to use the primary funding
to invest into building scale and expanding its
operations into new geographies.
From the Venture
Intelligence PE/VC Deal Database:
In Mar-12, BanyanTree Growth Capital had
invested INR 18 Cr in Ess Kay. (Subscribers to
the database can login to view the valuation,
deal structuring and other transaction
details.).
KKR invests Rs.193-Cr
in Kolte Patil- I-Ven JV township in Pune
Economic Times
Kolte-Patil Developers' joint venture (JV)
company Kolte-Patil I-Ven Townships (Pune) is to
raise INR 193 crore from global investment firm
KKR. The company is a JV between Kolte-Patil and
ICICI Venture Funds Management Company. KPIT is
developing Life Republic, a 383-acre township
located in Pune's Hinjewadi area. The company
will use the funds to attain financial closure
at R1 sector of the project.
Rabo
Equity picks up 40% in Olive Bar & Kitchen for
Rs.100-Cr; Aditya Birla PE exits
Mint
Rabo Equity Advisors has picked up about 40%
stake in Olive Bar and Kitchen Pvt. Ltd, which
specializes in Mediterranean food, for INR 100
crore. India Agri Business Fund II has bought
the stake from Aditya Birla Pvt Equity along
with a few other selling shareholders. Olive Bar
& Kitchen has 33 outlets and claims a revenue of
INR 200 crore.
Digital lender EarlySalary raises $15.8-M from Eight
Roads Ventures, others
Economic Times
Digital short term loan startup
EarlySalary has raised INR 100 crore in
series B round of funding which was led by Eight Road
Ventures. The round also saw the participation of its
existing investors DHFL, IDG Ventures India and seed
investor Ashok Aggarwal. The Pune-based startup plans to
use the funds to launch a line of credit product for its
customers and scale up business to target 1 lakh loans
to be disbursed per month.
In the previous round of funding, EarlySalary had raised
around USD 4 million from Dewan Housing Finance (DHFL)
and IDG Ventures.
Eight Roads leads $10-M
investment in opticals chain Specsmakers;
Fulcrum part-exits
Economic Times
Optical retail chain Specsmakers Opticians has
raised USD 10 million (about INR 64 crore) in
funding led by Eight Roads Ventures India.
Fulcrum Venture has made a partial exit with
this deal. Sandeep Singh, principal at Eight
Roads Ventures will join the board at
Specsmakers. The funding round saw participation
from existing investor Atma Ram Family Office
and other individual investors. The funds will
be used for expanding operations in other
cities.
Specsmakers is an optical retail chain with over
110 company-owned stores across Chennai,
Bengaluru and Madurai.
Vivimed Labs raises addl $7.5-M
from OrbiMed
BSE
Healthcare focused investor OrbiMed, via OrbiMed Asia, has invested USD
7.5 million more in Vivimed Labs (Mascarene), the holding entity of API
business of publicly-listed drug firm Vivimed Labs. The company had
earlier raised USD 42.5 million from OrbiMed Asia in September 2017.
Identification services provider
IDfy raises $3-M from NEA, others
Mumbai-based Baldor Technologies, which offers identification
verification services under the IDfy brand, has raised USD 3 million
from NEA, NB Ventures and Dream Incubator. IndigoEdge was the
transaction advisor to the deal.
From the Venture Intelligence PE/VC Deal Database:
Between 2012-2015, IDfy raised USD 3.3 million from Blume Ventures,
Beenext and NEA. (Subscribers to the database can login to view the
valuation, deal structuring and other transaction details.)
IOB sells Bhushan Steel account
to SSG Capital at 40% write-off
Business Standard
Indian Overseas Bank (IOB) has sold its Bhushan Steel account to SSG
Capital with write off amounting to less than 40% of debt. SSG Capital
was the largest bidder with INR 376 crore. Other bidders included
Edelweiss, J M Financial and Pegasus. IOB’s exposure to Bhushan Steel
was INR 650-700 crore.
CDC
Group sets up clean energy platform Ayana
Renewable Power
Mint
CDC Group announced the launch of Ayana
Renewable Power, a renewable energy platform for
India and neighbouring countries. Ayana will
develop hundreds of megawatts of generation
capacity for under-served Indian states and
neighbouring countries including Bangladesh,
Nepal, Myanmar and Sri Lanka.
CDC Group has appointed Shivanand Nimbargi as
managing director and chief executive officer,
and P.J. Nayak as chairman of Ayana.
Angel Funding
Lingerie startup
Buttercups raises funds from Rajan Anandan,
others
Economic Times
Lingerie startup
Buttercups has
raised fresh funding from angel investor Rajan
Anandan and existing investors Kanwaljit Singh
and Anand Chandrasekaran. The funding is likely
to help the company stay afloat after it failed
to raise its series-A round. Anandan invested in
the company through Lets-Venture. The company
clocked revenues of INR 1.04 crore in FY17.
Liquidity Events
Pharma chain MedPlus’ promoter
buys back PE investors’ stake; raises Rs.750-Cr debt
Mint
Madhukar Gangadi, the promoter of pharmacy retail chain MedPlus Health
Services Pvt. Ltd, has raised around INR 700-750 crore (about USD 115
million) in debt financing from Goldman Sachs to buy-out the 69% stake
held by existing PE investors in the company - viz Mount Kellett
Capital, TVS Capital and IndiaVenture. Madhukar Gangadi now owns around
90% stake in the company.
Mount Kellett held 49% in MedPlus through its arm MKCP Direct
Investments (Mauritius) IV Ltd. TVS Capital’s TVS Shriram Growth Fund I
owned 10.59% and India Venture Trust Fund-I held 9.09%.
Realtor Prestige buys
CapitaLand’s stake in various shopping mall projects for Rs.342-Cr
BSE
Real estate firm Prestige Group, through a subsidiary, has acquired
Singapore-based CapitaLand Ltd’s stake in entities engaged in shopping
mall projects across India for around INR 342 crore. The real estate
firm will acquire the following:
-
49% stake in Prestige Mysore Retail Ventures Pvt Ltd (Forum Centre City Mall, Mysore)
-
49% stake in Prestige Mangalore Retail Ventures Pvt Ltd (Forum Fiza Mall, Mangalore)
-
50% stake in Prestige Garden Constructions Pvt Ltd (Forum Neighbourhood Mall and Oakwood Serviced Residences, Bangalore)
-
24.50% stake in Babji Realtors Pvt Ltd (Forum Sujana Mall, Hyderabad)
-
13% stake in Thomsun Realtors Pvt Ltd (Mall at Kochi)
-
100% stake in Flicker Projects Pvt Ltd (Celebration Mall, Udaipur)
-
50% stake in CapitaLand Retail Prestige Mall Management Pvt Ltd
Property
developer Prestige buys back Red Fort Capital’s
stake in JV for Rs.324-Cr
Times of India
Publicly listed realty firm Prestige Estates,
through a wholly owned special purpose vehicle (SPV),
is acquiring 66.66% stake from private equity
partner Red Fort India and landowners in group
company Prestige Projects Pvt Ltd (PPPL) for INR
324 crore. PPPL has a land parcel measuring over
180 acres, near Sarjapur Road, Bengaluru.
Prestige Group intends to develop an affordable
and mid- income housing project on this land.
From the Venture
Intelligence PE-RE Deal database:
In September 2012, Red Fort Capital had invested
INR 200 crore in Prestige Group
Kedaara
Capital sells Mahindra CIE Automotive shares
worth Rs.102-Cr
Kedaara Capital, via Ainos Holdings Limited, has
sold 4,087,600 shares at INR 250.31 per share
through BSE on Dec 27, 2017 of publicly listed
Mahindra CIE Automotive Ltd. The sale, which
constitutes 1.08% stake of the company,
aggregated to INR 102.32 Cr. Post deal, the
investor would hold 2.73% stake (10,322,902
shares) in the company.
From the Venture
Intelligence PE/VC Deal Database:
In Feb 2015, Kedaara Capital invested INR 300 Cr
for 50% stake in Bill Forge. In Sep 2016, Bill
Forge got merged with Mahindra CIE Automotive.
As a result of the merger, Kedaara Capital ended
up getting stake in the target.
IFC
sells Jain Irrigation Systems shares worth
Rs.94.14 Cr, registers 1.91x return
IFC has sold 7,500,000 shares (1.51% stake) on
BSE of publicly listed Jain Irrigation Systems
Ltd. on Jan 04, 2018. The sale, at INR 125.52
per share, aggregated to INR 94.14 Cr.
Post-deal, the investor would hold 1.14% stake
(5,667,025 shares) in the company and 1.71%
stake (329,445 shares) in Jain Irrigation
Systems (DVR).
From the Venture
Intelligence PE/VC Deal Database:
In Dec 2008, IFC had invested INR 72 Cr in the
company. In Sep 2012, the investor invested
additional INR 56 Cr in the form of equity and
USD 75 million in the form of ECB.
MicroVest sells Satin Creditcare Network shares
worth Rs.18.36 Cr, registers 4.85x return
MicroVest, via MV Mauritius Limited, has sold
430,000 shares (0.96% stake) on BSE of publicly
listed Satin Creditcare Network Ltd. on Jan 04,
2018. The sale, at INR 427.01 per share,
aggregated to INR 18.36 Cr. Post-deal, the
investor would hold 5.94% stake (2,655,520
shares in the company).
From the Venture
Intelligence PE/VC Deal Database:
In Mar 2013, MicroVest invested INR 29.89 Cr at
INR 85.50 per share.
Infosys divests its
full stake in ANSR Consulting for $1-M
BSE
Publicly-listed Infosys Ltd has divested its entire stake in ANSR
Consulting Holdings, Inc., a Delaware corporation for USD 1 million.
From the Venture Intelligence PE/VC Deal Database:
In July 2015 Infosys Innovation Fund had invested $1.4 million in ANSR
Consulting
Other
Private Equity/Strategic Investments
Spice Digital to invest $3.9 M
in lending platform AnyTimeLoan
DealStreetAsia
Spice Digital, a subsidiary of mobile phone company Spice Mobility, has
invested INR 25 crore in peer-to-peer lending platform AnyTimeLoan,
operated by Luharia Technologies Pvt Ltd (LTPL). SDL (Spice Digital)
will invest in 0.1 % CCPS of LTPL for 30% stake.
Sotheby-arm RealPro
Realty raises $2-M
DealStreetAsia
RealPro Realty Solutions Pvt. Ltd, the Indian
arm of luxury real estate advisory services
provider Sotheby’s International Realty, has
raised USD 2 million from an
ultra-high-net-worth individual. The company
plans to use the funds to open more offices
across cities in India and will establish India
desks overseas, focusing on the Indian diaspora.
RealPro provides marketing and other transaction
advisory services to clients intending to buy or
sell luxury real estate properties globally. In
May last year, RealPro Realty has raised USD 7
million from Brand Capital and some HNIs.
Health food brand True
Elements raises Rs.5-Cr from RP- Sanjiv Goenka
group, others
DealStreetAsia
Health food brand
True Elements,
operated by HW Wellness Solutions Pvt. Ltd, has
raised INR 5 crore (USD 789,000) in a round led
by retail major RP-Sanjiv Goenka Group. The
pre-Series A round also saw participation from
existing investors and a few new investors. The
Pune-based company plans to use the fresh funds
for product development, marketing and
go-to-market initiatives.
True Elements offers a range of snacks and
natural supplements through its website and
other online marketplaces. The company also
operates a wellness solutions portal under the
brand name HealthyWorld.in, which offers health
advisory content besides marketing and selling
health and wellness products and services. In
2015, the company had raised around USD 200,000
from a clutch of angel investors.
BCCL invests in online lending
platform FinREQ
INC42
Bennett Coleman and Co Ltd (BCCL) has acquired a stake in online lending
platform FinREQ. FinREQ has developed its own algorithm, analytics and
matchmaking features for its online lending platform which connects the
right borrowers with the right lenders. The portal has tie-ups with more
than 50 leading lenders in the country and is sector agnostic. It also
offers debt products for lending.
Cube Highways sells
minority stake to Mitsubishi-led investors’
consortium
Press Release
Cube Highways has sold a minority stake to Japan
Highways International (JHI), a consortium of
infrastructure investors led by Mitsubishi
Corporation. Cube Highways was formed by two
global institutions, I Squared Capital and
International Finance Corporation (IFC). It
manages a diverse portfolio of toll and annuity
roads.
M&A
Reliance Jio to acquire R-Com’s wireless assets for
Rs.24-K Cr
BSE,
Legally India
Publicly listed
Reliance Communications Ltd
(R-Com) has signed binding agreements with Reliance Jio
Infocomm Ltd, a subsidiary of Reliance Industries Ltd,
for the sale of wireless spectrum, tower, fiber and
media convergence node (MCN) assets. An asset
monetization process for R-Com assets was mandated by
the lenders of the company, who appointed SBI Capital
Markets to run a two-stage process in which Reliance
Jio emerged as the successful bidder. The deal size is
pegged at about INR 24,000 crore.
Post-agreement, Jio will acquire assets under four
categories – towers, optic fiber cable network (OFC),
spectrum and media convergence nodes (MCN) from R-Com
and its affiliates. The deal consideration comprises
primarily of cash payment and includes transfer of
deferred spectrum instalments payable to the Department
of Telecommunication (DoT). R-Com will use the proceeds
of this deal solely for prepayment of debt to lenders.
R-Com is saddled with a debt of around INR 45,000 crore.
Jio is being advised by Goldman Sachs,
Citigroup Global Markets, JM
Financial, Davis Polk &
Wardwell, Cyril Amarchand Mangaldas,
Khaitan & Co and Ernst & Young on this
transaction. J Sagar Associates (JSA) acted for
the joint lenders forum convened by the client State
Bank of India for the debt resolution and restructuring
of Reliance Communications Ltd, Reliance Telecom Ltd and
Reliance Infratel Ltd (R-Com Group).
Product engg
co eInfochips to be acquired by US-based Arrow Electronics for
Rs.1,800-Cr
Economic Times
US-based Arrow Electronics is to acquire GVFL-backed eInfochips,
an Ahmedabad-based product engineering and software R&D services
company, for INR 1,800 crore. Avendus was the adviser to
the transaction.
From the Venture Intelligence PE/VC Deal
Database: In November 2008 and May 2012 GVFL had
invested INR 11 crores and INR 2.57 crore in eInfochips.
(Subscribers to the database can login to view the valuation,
deal structuring and other transaction details.)
Vedanta
acquires 51% in Japanese LCD glass maker
AvanStrate from Carlyle for $158-M
BSE
Publicly listed Vedanta Ltd, via its wholly
owned subsidiary Cairn India Holdings Limited (CIHL),
has acquired a 51% stake in Japanese glass
substrate manufacturer AvanStrate Inc from
global private equity firm Carlyle Group for USD
158 million. CIHL will take over AvanStrate's
debt of face value USD 299 million for USD 151
million from the company's lenders and extend
USD 7 million as a loan. Nomura acted as
the financial adviser to CIHL on this
transaction.
AvanStrate manufactures glass substrates for
small and medium-sized high-resolution thin film
transistor (TFT) liquid crystal display (LCD)
panels, used in screens for devices including
smartphones, cameras, flat screen televisions
and tablets. AvanStrate has operations in Korea
and Taiwan. It had a net profit of USD 1.4
million on a turnover of USD 169 million for the
year ended March 31, 2017.
Havells sells balance
stake in Sylvania for $43-M
BSE
Havells Holding Ltd, a subsidiary of Havells
India, has completed the sale of remaining 20%
stake in Feilo Malta Ltd to Shanghai Feilo
Acoustics Co. Ltd for 34.5 million euros. HHL,
through its subsidiary Havells International,
has also completed the sale of 100% stake in
Havells Sylvania Thailand Ltd to Fielo for 1.6
million euros.
The process of winding up of the entity in US
has been initiated and for Chile the same will
be initiated shortly. Further, the company has
initiated the process for redemption of 26
million euros from its investment in HHL.
From the Venture
Intelligence M&A Deals Database:
In Dec-2015, Havells sold 80% in European unit
Sylvania for INR 1,100 Cr to China’s Shanghai
Feilo Acoustics. Havells had originally acquired
Sylvania in Mar-07 for $300-M.
Aurionpro to sell ID, access mgmt business to KPMG
for Rs.217-Cr
BSE
KPMG LLP has agreed to acquire the Identity and Access
Management (IAM) business of Cybernic, a subsidiary of
publicly-listed Aurionpro Solutions Ltd for INR 217.6
crore. The acquisition excludes the product - Cyberinc
Entitlement Server.
Cyberinc’s IAM business is a 190-person global team with
significant presence in the US, India, Australia, and
the UK. It contributed INR 172 crore in global revenues
during FY 16-17. Indian revenue stood at INR 22 crore.
Tata Global Beverages
sells 32% stake in Sri Lankan JV for Rs.120-Cr
BSE,
Mint
Tata Global Beverages Ltd had agreed to sell its
31.85% stake in Watawala plantations in Sri
Lanka to Colombo-based Sunshine Holdings Plc.
TGBL divested its holdings of 1,20,78,406 shares
in its Joint Venture, Estate Management Services
Pvt. Ltd, the managing agent for the Watawala
plantations, constituting 31.85% of the issued
capital of EMSPL for INR 120 crore.
Lenders
sell Raj Oil Mills for Rs.62-Cr to Rubberwala
Housing
Economic Times
Raj Oil Mills, a company which owned household
brand names of the ’90s — Cocoraj Coconut Hair
Oil and Guinea groundnut oil — will have a new
owner. The lenders to the company have managed
to sell it in the default resolution process to
Rubberwala Housing, which is into oil trading
and real estate business. The lenders will
receive INR 62 crore against their outstanding
dues of INR 115 crore, which means taking a
haircut of 46%.
Raj Oil Mills was referred to the National
Company Law Tribunal by Edelweiss Asset
Reconstruction Company. Other lenders to the
firm include Karur Vysya Bank and Shamrao Vithal
Cooperative Bank.
NIIT buys US technology training
firm Eagle Intl for $8-M
BSE ,
BSE
Publicly listed NIIT Limited, via its subsidiary NIIT(USA), has acquired
a 100% stake in Eagle International Institute Inc., USA in an all cash
deal for USD 8.1 Million. Eagle was incorporated in 1988 and is engaged
in the business of providing technology training and work-process
consulting for clients primarily in the Pharmaceutical & Life Sciences
industry. It had reported consolidated revenue of USD 10.7 Million
(provisional) for financial year ending December 2017.
EbixCash acquires money
transfer biz of Transcorp for $7.4-M
Economic Times
EbixCash, the Indian unit of US software
services entity Ebix, has acquired the money
transfer business of Transcorp International for
approximately USD 7.4 million. With this buy,
EbixCash would get access to 7,500 distribution
outlets and 70 branches of Transcorp which
processes around 1.7 m transactions per year.
Phoenix Mills buys balance 22.67
% in subsidiary Graceworks from HBS Realtors for Rs.10-Cr
Economic Times
Publicly-listed retail-led asset developer and operator The Phoenix
Mills has bought out 22.67% stake in subsidiary Graceworks Realty &
Leisure from HBS Realtors.
Phoenix Mills' another subsidiary Phoenix Hospitality Company already
holds 77.23% stake in Graceworks Realty & Leisure. Phoenix Mills holds
56.92% stake in Phoenix Hospitality Company and hence its stake in Graceworks Realty & Leisure, post this acquisition, stand at 66.69%. The
company has completed the acquisition for consideration of INR 10 crore
on December 29.
EPS acquires
NCR’s ATM maintenance contracts worth Rs.55-Cr
Media Release
Electronic Payment Solutions has acquired certain assets and
contracts of NCR Corporation India for outsourcing of
installation and maintenance of cash dispensers for INR 55
crores ($8.67 million). AZB & Partners was the legal
advisor to NCR Corporation India on the deal.
From the Venture Intelligence PE/VC Deal
Database: PE-VC investors in Electronic Payment
and Services including Apis Partners, Aavishkaar and FMO.
Former Religare CEO Shachindra Nath to buy Chokhani
Securities
BSE
Former Religare CEO Shachindra Nath and Gurgaon-based
Poshika Advisory Services are to acquire a
majority stake in publicly-listed
Chokhani Securities -
via a purchase of 29,16,800 equity shares from
its promoters Ramakant Chokhani, Anand Chokhani
and Neelam Chokhani. Shachindra has been
appointed as Managing Director for a period of 5
years. The acquirers have made an open offer an
additional 3,51,683 shares.
Equirus Capital is the manager to the open
offer.
Deepender Anil & Associates issued the
valuation report. Chartered Capital and
Investment provided Fairness Opinion.
Chokhani Securities had total assets of INR
34.24 crore, a net worth of INR 34 crore and
annual revenue of INR 2.3 crore as of March
2017. As of September 2017, the promoter family
of Chokhani Securities owned about 73.8% of the
company. The deal also involves a merger of the
lending business of Asia Pragati Capfin Pvt.
Ltd, comprising of business of extending term
loans and working capital loans to SME
companies, with Chokhani via an all-stock
transaction. The fair exchange ratio for propose
merger is one lakh shares of FV INR 10 of CSL
for every 13,65,162 equity shares of Asia
Pragati Capfin of FV INR 10. APCPL has a total
assets of INR 145.27 crore with a turnover of
INR 9.06 crore as on March 31, 2017. Its
networth was INR 145.15 crore.
Chokhani is to also raise PE funding from ADV
Capital and Indgrowth Capital. Indgrowth Capital
Fund I will invest about INR 45 crore by
subscribing to 34,88,372 CCDs of INR 129 each
which would be converted into 1 equity share (of
INR 10 each). Clearsky Investment Holdings Pte
Ltd (an affiliate of ADV Partners) and NewQuest
Asia Investment III will each be issued
12,79,069 equity shares at INR 129 each
aggregating to INR 16.5 crores and 138,37,210
CCDs of INR 129 each converted into 1 equity
share (of INR 10 each) aggregating to INR 178.5
crore.
Auto component player
Samvardhana Motherson acquires MS Global India
Mint
Samvardhana Motherson International
Ltd (SAMIL), the holding firm of auto component
major Samvardhana Motherson Group, has acquired
100% stake in MS Global India Pvt. Ltd (MSGI)
from Korea-based MS Group. The acquisition will
allow SAMIL enter a new vertical-sheet metal
parts with focus on hot stamping—a technology
for high strength sheet metal parts. MSGI is a
supplier of frames for chassis of commercial
vehicles.
HCG to merge Triesta unit with
Strand Life Sciences
BSE
Publicly listed Healthcare Global Enterprises (HCG) is to merge its
Triesta Sciences business unit into fellow Bangalore-based Strand Life
Sciences. Triesta provides clinical reference laboratory services with a
specialisation in oncology and operates laboratories in several HCG
hospitals across India. Triesta also offers R&D services in the areas of
clinical trial management and biomarker discovery to pharma and biotech
companies. The merger will create an integrated platform with
capabilities in precision medicine-proprietary analytics, clinical
research, access to the HCG biorepository, genomic technologies, assay
development and validation and a network of laboratories offering a
broad menu of tests.
Strand, established in 2000 as a spin-off from the Indian Institute of
Science, is a bioinformatics company working with global technology
vendors and research laboratories, and is the leader in genomic testing
for cancer and inherited diseases in India.
From the Venture Intelligence PE/VC Deal Database:
Strand had attracted about $16 M from Burrill & Co. and other investors
in In 2013 & 2014. (Subscribers to the database can login to view the
valuation, deal structuring and other transaction details.)
Principal Financial to buy
partner PNB’s minority stakes in JVs
Reuters
Investment manager Principal Financial Group Inc is to buy Punjab
National Bank's minority stakes in JV, Principal-PNB Asset Management
Company and Principal Trustee Company. PNB has 21.38% stake in
Principal-PNB Asset Management Co and 30% in Principal Trustee Co.
Retail aggregator Dukanline
acquires rural retail chain Mystores
Business Line
Dukanline India, a retail aggregator, has acquired Mystores, a chain of
rural branded retail stores, adding offline physical presence to its
network. Mystores Chain, in less than a year, has set up a chain of over
117 stores in Telangana and Andhra Pradesh and has logged revenues of
INR 70 crore.
Bank of Baroda buys out
UniCredit’s 51% stake in mutual fund JVs
BSE
Publicly listed Bank of Baroda has bought out
the 51% stake of its joint venture partner
UniCredit SpA in Baroda Pioneer Asset Management
Co Ltd and Baroda Pioneer Trustee Company Pvt
Ltd. Following the acquisition the bank will
become the sole shareholder of the AMC and
Trustee Company and the sole sponsor of Baroda
Pioneer Mutual Fund. As on November 2017 the
funds AUM stood at INR 11000 crore.
IT
products distributor Iris Computers’ founder
buys out John Sculley’s controlling stake
Financial chronicle
Sanjiv Krishen, who founded It products
distributor Iris Computers in 1996, has bought
out the controlling stake held by Dragon
Singapore, a John Sculley company (which had
acquired controlling stake in Iris Computers
through Inflexion Point in Dec 2012) .
Iris Computers Ltd distributes computer systems
and peripherals from OEMs like HP, Dell, Samsung
and LG, through its network of branches. Iris
claims a turnover of INR 2,600 crore.
Kids healthcare startup
Babygogo acquired by Sheroes
Business World
Sheroes, a platform for women empowerment, has
acquired Delhi-based Babygogo, a community of
mothers seeking information and support around
baby care and well-being. The founders of
Babygogo Siddhartha Ahluwalia, Sowrabh N R S and
Satyadeep Karnati will join Sheroes as
co-founders.
Other Deals
IDBI Bank sells 4.89% stake
in SIDBI
BSE
IDBI Bank has sold 2,6,000,000 equity shares constituting 4.89% of the
capital of Small Industries Development Bank of India (SIDBI).
Secondary Issues
LT Foods raises Rs.399-Cr via
QIP
BSE
Publicly-listed LT Foods Ltd, a leading processor and exporter of
packaged rice under the flagship brand ‘Daawat’, has raised around INR
399 crore (USD 62.2 million) through qualified institutional placement (QIP).
The issue is for 53.1 million shares of INR 75.20 each. AZB &
Partners acted as the legal advisor to LT Foods.
Real Estate
Transactions
Brigade buys Bengaluru land for
Rs.218-Cr from SAB Miller
BSE
Publicly-listed Brigade Enterprises Ltd, via Brigade Infrastructure and
Power Pvt Ltd, has acquired a property measuring 12.95 acres at
Yeshwanthpur, Bangalore for a sale consideration of INR 218 crore from
SAB Miller India Ltd.
Debt
Financing
Lodha
Developers issues bonds for $125-M
Realty major Lodha Group has issued USD 125
million Guaranteed Bonds (tap issue) due in 2020
by Lodha Developers International Ltd,
guaranteed by, among others, Lodha Developers
Pvt Ltd. J. Sagar Associates (JSA)
advised Lodha Developers on the issue.
MFI Spandana Sphoorty
raises $63-M from BoB, IndusInd Bank
DealStreetAsia
Spandana Sphoorty Financial Ltd, a
Hyderabad-based microfinance institution, has
raised INR 400 crore (USD 63 million) from
IndusInd Bank and Bank of Baroda through the
issue of Pass Through Certificates. So far,
Spandana has securitised INR 810 crore (USD
127.5 million) portfolio to various banks and
financial institutions.
In November, Spandana had securitised INR 100
crore portfolio to Bandhan Bank through Pass
Through Certificate. Prior to that, it had
securitised a INR 90-crore portfolio at the rate
of INR 30 crore each to Kotak Mahindra Bank,
Mahindra Finance and Hinduja Leyland Finance. In
December, Spandana raised another INR 125 crore
(USD 19.5 million) in equity from existing
investors Kedaara Capital and Ontario Teachers’
Pension Plan (OTPP).
Online loans aggregator
Lendingkart raises Rs.25-Cr from SBI
Mint
Lendingkart has raised INR 25 crore in debt from State Bank of India (SBI).
The loan is in the form of cash credit facility which essentially allows
the company to draw the amount over separate tranches as and when it
needs it.
Lendingkart represents a group of start-ups that includes Capital Float,
Neogrowth and IndiaLends, that offer small ticket-size loans, mostly
unsecured credit, to borrowers with limited credit history. The start-up
has taken over INR 200 crore in equity funding from investors including
Bertelsmann India Investment, Saama Capital, Mayfield India, India
Quotient and Darrin Capital Management.
HDFC,
ADIA to invest $500-M in affordable housing projects
Times Group
Mortgage lender HDFC and Abu Dhabi’s sovereign fund the Abu
Dhabi Investment Authority’s (ADIA) USD 1-billion investment
platform are in the process of committing over half a
billion USD to affordable and mid income housing projects
across India by March. The primary objective of this
platform – headed by Vipul Roongta, CEO, HDFC Capital
Advisors – is to provide long-term equity and mezzanine
capital to marquee developers at the land and pre-approval
stage and enable their foray in affordable housing. The
investment platform has identified key projects of more than
a dozen developers in Mumbai, Bengaluru, Gurugram, Kolkata,
Chandigarh and Rajasthan for the deployment. Some of these
developers include Godrej Properties, Mahindra Lifespace
Developers, Signature Global, Radius Developers, Rustomjee
Group and Acme Group.The investments will be made through
funds raised by HDFC’s wholly-owned subsidiary HDFC Capital
Advisors.
Flipkart
co-founders Bansals set up Sabin Advisors
Business Line
Sachin Bansal and Binny Bansal, co-founders of
e-commerce firm Flipkart, have set up a new
company named Sabin Advisors for new businesses,
which could include venture capital funding and
insurance. The co-founders might route all their
investments through this new venture. Sabin is
to look at other avenues for investments as well
as offer advisory services outside the
e-commerce platform.
Sachin Bansal has invested USD 26 million in
seven ventures while Binny Bansal has invested
USD 32 million in 17 ventures.
Warburg Pincus
India MD Nitin Nayar quits to launch tech fund
Economic Times
Nitin Nayar, the managing director of private
equity firm Warburg Pincus, has resigned to
launch his own investment fund that will
primarily focus on placing technology-related
bets. Nayar’s new fund is expected to have a
corpus of USD 150-200 million (INR 950-1,270
crore), and is likely to make mid- to
growth-stage investments, particularly in the
enterprise technology segmen
VI Updates
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Private Equity - The
Road Ahead: 2017 turned out to be the biggest
ever year for both Private Equity Investments &
Exits. Does this signal the beginning of a
sustainable resurgence of the PE-VC industry?
What are the potential pitfalls ahead? Select List of Speakers
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Oyo
Rooms triples its topline in FY17 to Rs.102-Cr
From the Venture Intelligence
Private Company Financials Database:
Oravel Stays Pvt Ltd, which runs online platform OYO
Rooms, has increased its total income to INR 102.19
crore in FY17 (from INR 32.68 crore in FY16). Losses
decreased to INR 330.97 crore from INR 496.31 crore.
(Subscribers to the database can login to view the
detailed financials.)
Ecom Express sees 37% increase in its
topline in FY17
Warburg PIncus-backed
E-commerce logistics company Ecom Express Private Limited has increased
its total income to INR 493.2 crore in FY17 (from INR 359.2 crore in
FY16). Losses decreased to INR 72.3 crore from INR 96.75 crore.
(Subscribers to the
Venture Intelligence Private Company Financials
Database can
login to view the detailed financials.)
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Private Equity Fund Investments
Naspers, Tencent to invest $200-M in Swiggy
Economic Times
South African internet group Naspers is to lead
a USD 150-200 million investment in Swiggy,
after SoftBank and Flipkart ended independent
funding talks with the online food-delivery
platform. The deal could likely value the
three-year-old venture at USD 600-650 million
before the investment. For the funding round,
Naspers could forge a strategic partnership with
China’s Tencent Holdings, which would come in as
a new investor.
Swiggy, owned and operated by Bundl
Technologies, grew its revenue by 6 times in in
fiscal year 2016-17 even as losses increased by
50% to INR 205 crore. Swiggy, till date, has
raised about USD 155 million in equity and USD 8
million in debt, totalling USD 163 million.
Chinese co Fosun eyes Rs.800-Cr stake in Nitesh
Estates
Economic Times
Shanghai-based Fosun Group is in advanced talks
to invest INR 800 crore (USD 125 million) in
southern developer Nitesh Estates for about 50%
stake. Nitesh plans to issues shares to Fosun
Property Holdings and IDERA Japan, which is
controlled by the former, through preferential
allotment. The Bengaluru-based company’s founder
Nitesh Shetty will retain 25% and continue to
run operational management. Shares in Ritz
Carlton hotel will not be part of the
transaction as the first generation entrepreneur
Shetty plans to keep it as a part of his
personal investments. Similarly, Nitesh Hub mall
in Pune, which is majority-owned by Goldman
Sachs, is also not part of the deal with Fosun.
JM Financial, Yes Securities, Cyril Amarchand
Mangaldas and EY are advising on the
deal-making.
Nitesh has a portfolio of 20 million sq ft of
completed and under development residential and
commercial projects. The company plans to use
the proceeds to pare debts and fast-track under
development projects delayed by adverse market
conditions. Going forward, Fosun would co-invest
with Nitesh Estates to acquire property assets
to expand its Indian real estate footprint.
Godrej PE to buy New Vernon’s IT Park at
Thane for Rs.400-Cr
Economic Times
Godrej Fund Management, the private equity
real estate arm of Godrej Group, is in talks
with US-based private equity firm New Vernon
Capital to buy its IT park at Thane for INR
400 crore.
The project G: Corp Tech Park on Ghodbunder
Road in Thane was built in 2010 by G Corp
and was later acquired by New Vernon
Capital. The project has a total built-up
area of around 7.50 lakh sq ft with a floor
plate of 70,000 sq ft. Of the total 6 lakh
sq ft of leasable space, around 98% is
already occupied.
Kedaara Capital in talks to buy Indian
School Finance Co for $50-M
Mint
Kedaara Capital is in talks to acquire a
majority stake in Hyderabad-based Indian
School Finance Co. Pvt. Ltd (ISFC), a
non-banking financial company (NBFC) that
lends to companies in the education sector.
Kedaara plans to invest about USD 50 million
in two tranches and acquire controlling
stake from existing investors and promoters.
Deloitte is advising ISFC on the
deal.
IFSC counts Grey Matters Capital and Caspian
Impact Advisors as its investors. The
company’s gross loan portfolio stood at INR
285.26 crore as of 31 March 2017, with gross
non-performing assets (NPA), at INR 4.14
crore. The company reported a profit of INR
4.56 crore in 2016-17.
Consumer loans portal Wishfin looks to raise
$50-M
Mint Print Edition
Wishfin, an online marketplace for consumer
loans and other financial products, will
raise up to %50 million in its next round of
funding, as it looks to make acquisitions in
niche segments. Mywish Marketplaces Pvt Ltd
owns and operates Wishfin.
Founded in 2009 by Vashishtha and Rishi
Mehra as Deal4Loans, the company rebranded
itself as Wishfin last year. It claims to
have partnered with over 40 financial
institutions and claims to have 9 million
customers and USD 3 billion worth of
disbursals to date.
Capillary Tech in talks to raise $30-M from
Warburg Pincus, others
Economic Times
Bengaluru-based Capillary Technologies is in
the process of raising a fresh round of
funding, estimated at USD 25-30 million,
expected to be led by existing investor and
marque private equity firm, Warburg Pincus.
The funding round is likely to have a large
secondary component. The company will use
the proceeds to expand its footprint,
particularly in China, where it has already
put a team in place. Additionally, it will
also be building artificial intelligence
products focused on offline retail.
Capillary Technologies has so far raised
about USD 90 million in equity financing
from American Express Ventures, Qualcomm
Ventures, Sequoia Capital and Norwest
Venture Partners. It had also raised venture
debt funding from InnoVen Capital.
Witlinger beer maker Kaama Impex in talks
with PE firm to raise $5-7 M
Mint Print Edition
Kaama Impex Pvt Ltd, the maker of Witlinger
beer, is in talks with an Indian private
equity firm to raise USD 5-7 million (INR
30-40 crore) in exchange for a minority
stake. The funds will be used to expand
product capacity and retain presence,
besides launching new variants of the craft
beer. Kaama Impex has so far raised about
INR 11 crore from individual investors. The
current revenue of the company is around INR
12 crore a year. The company has so far been
importing beer but now wants to produce
wheat and lager variants in India.
ChrysCapital in talks for stake in school
lender Varthana
Mint
ChrysCapital is in talks to buy a
significant minority stake in Thirumeni
Finance Pvt. Ltd, a Bengaluru-based
non-banking financial company (NBFC) that
operates under the name Varthana. The
investment in the company, which lends to
affordable private schools, will be around
USD 50 million (INR 320 crore). Promoters
will dilute their stake and no existing
investor will participate in this round of
funding.
In April 2016, Varthana raised INR 93 crore
(USD 14 million) in a Series B round of
financing from Kaizen Private Equity and
Zephyr Peacock India, along with existing
investors Elevar Equity, LGT Venture
Philanthropy and Omidyar Network. In its
series A round, Varthana had raised INR 32
crore from marquee investors, including
former Credit Suisse banker Vikram Gandhi
and Genpact Ltd founder Pramod Bhasin in
2015. In October 2017, Varthana raised USD 3
million from the Michael and Susan Dell
Foundation to expand its school
transformation program (STP).
Amazon to invest in e-insurance startup Acko
Economic Times
Global online retailer Amazon is to invest INR
100 crore in Mumbai-based online-insurance
startup Acko Technologies. The deal will see
Amazon co-create financial products with Acko -
besides being its distributor. Acko is backed by
Catamaran Ventures, Infosys co-founder Kris
Gopalakrishnan, Hemendra Kothari of DSP
Blackrock, and venture funds Accel Partners and
SAIF Partners.
IPOs
EESL plans to raise Rs.200-Cr through IPO
next fiscal
Business Line
Energy Efficiency Services (EESL) proposes
to tap the stock exchanges in the next
fiscal to raise INR 200 crore by offloading
20% of its equity. EESL is a joint venture
of four public sector enterprises - NTPC,
PFC, REC and PowerGrid. The current paid-up
capital of the company is INR 460 crore.
Apollo Micro Systems to raise Rs. 156-Cr via
IPO
Business Standard
Apollo Micro Systems Ltd has fixed a price
of INR 270-275 per share for its initial
share sale offering, through which it
expects to raise INR 156 crore. Proceeds of
the issue will be used to meet additional
working capital and other general corporate
purposes. The company offers integrated
solutions to the aerospace, defense,
homeland security and transportation
sectors. Aryaman Financial Services
is the sole book running lead manager to the
issue.
IFC to dilute 1.8 % stake in Bandhan Bank’s
public issue
Economic Times
International Finance Corporation is looking to
dilute its 1.8% stake in Kolkata-based Bandhan
Bank when the bank goes public later this year.
The bank plans to sell up to 11.9 crore equity
shares through an initial public offer, and has
filed a draft red herring prospectus with the
Securities & Exchange Board of India (Sebi). The
IPO will consist of fresh issue of up to 9.76
lakh equity shares of face value of INR 10 each
while IFC and IFC FIG Investment Company will
sell 2.16 lakh shares between them. The book
running lead managers to the Issue are Kotak
Mahindra Capital Company, Axis Capital Goldman
Sachs (India) Securities, JM Financial
Institutional Securities and JP Morgan India.
Another overseas shareholder in the bank,
Singapore's sovereign wealth fund GIC, will stay
put.
IFC and Singapore's sovereign wealth fund GIC
hold 5% each in the bank at present and SIDBI,
less than 1%. The Kolkata-based bank earned INR
658 crore net profit in the first half of FY18.
Secondary Issues
Centrum Capital board approves plan to
raise Rs.18-K Cr
Business Standard
Centrum Capital is looking to raise INR 180
billion through issue of securities in one
or more tranches. Centrum is engaged in
financial services such as investment
banking, wealth management, portfolio
management, stock broking, foreign exchange,
travel, lending, infrastructure and real
estate advisory services.
Idea Plans to raise Rs.5,600-Cr from Aditya
Birla Group to pare debt
Economic Times
Idea Cellular, India’s third-biggest telecom
services company, is planning raise up to INR
5,600 crore for debt reduction in a rights or
preferential share issue to its current
promoters, the Aditya Birla Group (ABG). Idea
and Vodafone India are awaiting the final
approvals for their USD 23-billion merger
announced on March 20.
Zuari Agro Chemicals to raise Rs.400-Cr
Business Line
Zuari Agro Chemicals is to raise INR 400 crore
through issuance of securities.
M&A
Manipal Hospitals may buy Hyderabad's Star
Hospitals for Rs.500-Cr
Economic Times
Manipal Hospitals is in talks to buy
Hyderabad's multispecialty hospital chain
Star Hospitals for INR 500 crore. Star
Hospitals currently operates across
Hyderabad in Telangana and Visakhapatnam
with nearly 500 beds. The promoters - two
cardiologists Gopichand Mannam and Ramesh
Gudapati - hold a little over 52% stake in
the hospital’s holding company Unimed Health
Care. The rest is spread among others,
including some doctors at the firm. The
company reported over INR 175 crore of
revenue for the fiscal ending March 2017.
Manipal Hospitals currently has 15
hospitals, with a capacity of over 5000
beds, across Karnataka, Tamil Nadu, Andhra
Pradesh, Delhi, Rajasthan, Goa. It also has
presence in Malaysia and Nigeria.
Govt
seeks bids from advisors for sale of
Dredging Corp, HLL, IMPCL
Times of India
The government has invited bids from
transaction advisors for the sale process of
three PSUs, including Dredging Corporation
of India. Besides, the government plans to
sell 100% stake in HLL LifeCare Ltd and
Indian Medicines Pharmaceutical Corporation
Limited (IMPCL) through strategic sale via a
two-stage auction process.
The government currently holds 73.47% in
Dredging Corporation, which is under the
administrative control of the shipping
ministry. The total turnover of the company
in financial year 2016-17 was INR 599.69
crore. The networth of the company as on
September 30, 2017 was INR 1,547.57 crore.
IMPCL, under the Ministry of AYUSH, is a
joint venture of the Government of India
(97.61%) and the Uttarakhand state
government (2.39%). The total turnover of
the company in FY 2016-17 was INR 66.45
crore. The networth of the company as on
September 30, 2017 was INR 65.49 crore.
Listed firm HLL Lifecare is under the
administrative control of the Ministry of
Health and Family Welfare. Total turnover of
the company in 2016-17 was INR 1,064.71
crore. The networth of the company as on
September 30, 2017 was INR 487.93 crore.
Digital payments gateway PayU eyes
acquisitions to enter lending segment
Business Line
Digital payments gateway PayU India is
looking to take an M&A route to enter the
lending segment in India. The firm, which is
owned by South Africa’s Naspers Ltd, plans
to either acquire or partner start-ups,
companies and banks to offer both secured
and unsecured loans in the Indian market.
The company has already made three
investments in companies —Kreditech,
Paysense and ZestMoney — for consumer and
SME lending.
Sebi to auction two properties of Swar Agrotech
in UP
Moneycontrol
Sebi will e-auction two properties belonging to
Swar Agrotech India Ltd in Uttar Pradesh at a
total reserve price of INR 15.08 lakh. Swara
Agrotech had mobilised around INR 95 lakh from
investors through illegal investment schemes.
The regulator has engaged SBI Capital Markets
Limited to assist in the sale of the
properties. In March 2016, the regulator had
ordered the company and its directors to refund
investors' money, which was raised through
illegal investment schemes.
lIT-C, JK Paper, others line up to acquire
Sirpur Paper Mills
Mint
Telangana-based Sirpur Paper Mills Ltd, which is
in the middle of insolvency proceedings at the
Hyderabad bench of the National Company Law
Tribunal (NCLT), has received initial
expressions of interest from several potential
suitors including ITC Group, JK Paper Ltd, West
Coast Paper Mills Ltd and Kolkata-based Kohinoor
Group.
Sirpur Paper Mills, which employs close to 3,000
workers, was bought by the CK Birla Group, which
later sold it to the Poddar family led by Ranjan
and Devashish Poddar. The mill shut operations
in September 2014 following successive quarterly
losses. In October 2016, IDBI Bank took
possession of the mill on behalf of lenders to
recover collective dues of INR 422 crore and put
the assets up for sale.
India Ahoy!
UK’s food delivery startup Deliveroo to set up
India ops
Times of India
UK-based online food delivery company Deliveroo
is in the process of setting up a full-fledged
team in India. Backed by Fidelity and T Rowe
Price, among others, Deliveroo operates in 140
cities across 13 countries in Asia-Pacific,
Europe and the Middle East.
Italy’s Enel Group eyes electricity distribution
sector in India
Mint
Italy’s Enel Group is interested in entering
India’s electricity distribution business,
attracted by proposed power sector reforms like
separation of the wire and electricity supply
business. The Milan stock exchange listed
company is present in 37 countries and generated
70.6 billion euros revenue in 2016.
New Ventures
Cancer care provider HCG in JV with
Cvergenx to develop genomic radiation
therapy
Business Line
Cancer care provider Healthcare Global
Enterprises Ltd (HCG) has entered into a
joint venture with Cvergenx to develop,
validate and launch precision genomic
radiation therapy (pGRTTM) technology in
India and Africa.
People
JLL India's CEO-Ops Santhosh Kumar quits;
Sinha new head of ops
Times of India
Property consultant JLL India's
CEO-Operations Santhosh Kumar has resigned
from the company. Kumar is looking for
better entrepreneurial opportunities. The
firm’s former CFO, Aveek Sinha, has been
elevated as the CFO and Head of Operations.
Sinha, who joined the company in 2012, is
based out of Bengaluru and will oversee the
strategic coordination of operations between
offices.
Abir Roy, Sundar Ramanathan to start own firm
after LKS exit
Bar and Bench
Abir Roy and Sundar Ramanathan, Partners at
Lakshmikumaran & Sridharan (LKS) have left the
firm to start their own venture. They will start
operations by mid of January along with
Seetharaman S who quit LKS in October.
MDP & Partners hires two partners
Bar and Bench
Mumbai-based law firm MDP & Partners has hired
Malav Virani and Pranav N Jain as Partners. With
this the total number of Partners comes to six.
The firm has also opened a new office at
Bandra-Kurla Complex (BKC). Malav started his
career with MDP & Partners in 2011 and
thereafter moved to HSA Advocates as a Senior
Associate. Pranav’s key practice areas include
mergers and acquisitions, private equity and
venture capital deals, cross-border
collaborations, corporate restructuring,
exchange control, family arrangements and
intellectual property rights.
Nitin Jain joins Agama Law Associates as
Managing Partner
Media Release
Nitin Jain has joined Agama Law Associates
(“ALA”), a boutique commercial law practice, as
Managing Partner. He was earlier the Legal
Counsel at TATA Chemicals Limited. Nitin has
also worked as an in-house lawyer at Mahindra
and Mahindra Limited and Mahindra Logistics.
ALA is a boutique commercial law practice,
founded by Archana Balasubramanian, offering
corporate and commercial legal solutions to
Indian and foreign businesses.
Others
Amazon-Patni JV Appario Retail gets
Rs.100-Cr infusion
Economic Times
Appario Retail, the seller entity under the
recently formed joint venture between Amazon
and Patni group, has received a fresh
capital infusion of INR 100 crore,
increasing its paid up capital to INR 140
crore from INR 40 crore.
Amazon formed a JV with the Patni group
named Frontizo Business for setting up a
customer service and seller platform.
Appario is the wholly owned subsidiary of
Frontizo.
RBI asks banks not to move NCLT against
Jaiprakash Associates
Economic Times
The Reserve Bank of India (RBI) has ordered
banks not to initiate bankruptcy proceedings
against Jaiprakash Associates possibly in
anticipation of legal complications after a
Supreme Court ruling barred its promoters
from selling or transferring assets. The
ruling was aimed at safeguarding the
interests of buyers of homes being built by
the company.
Jaiprakash Associates is among 28 companies
that banks were directed to refer to
bankruptcy court if debt resolution plans
weren't in place by the end of 2017.
Jaiprakash Associates, with debt of INR
25,000 crore, is part of the Jaypee Group
promoted by Manoj Gaur and his family.
Shakti Bhog, Anrak, Wind World taken to
bankruptcy court
Economic Times
Lenders led by State Bank of India took New
Delhi-based grocery company Shakti Bhog
Foods, Hyderabad-based Anrak Aluminium and
Gujarat-based energy company Wind World to
bankruptcy court. The three companies
together owe banks more than INR 12,000
crore in loans and interest. Anrak Aluminium
with dues of close to INR 5,200 crore led
the debtors, followed by Shakti Bhog with
INR 4,000 crore. Wind World, in which IDBI
Bank is the lead banker, owes banks INR
3,000 crore. All the cases were filed by
Mumbai-based law firm India Law LLP on
behalf of the banks.
Centre considers splitting GAIL into 2 separate
entities
Economic Times
The government is planning to split GAIL (India)
hiving off marketing operations into a separate
company. Last year, GAIL earned over 70% revenue
from marketing operations and over 40% of the
profit from natural gas transmission. Bharat
Petroleum and IndianOil have made a pitch to
take over GAIL.
Sebi initiates refunds in PACL case
Economic Times
Markets regulator Sebi has initiated the process
of refunding money to the depositors of PACL
more than three years after asking the company
to pay back its investors. In the biggest ever
crackdown on large-scale illicit money pooling
scheme, Sebi had asked PACL to refund INR 49,100
crore to 5.85 crore investors in August 2014.
Sebi-constituted committee under the
chairmanship of Justice R M Lodha, the former
Chief Justice of India, also ordered the
immediate closure of unauthorised collective
investment schemes (CIS) run by the company.
PayU to shut down wallet biz
Medianama
PayUmoney wallet is shutting down its operations
at the end of January 31, 2018 and is asking
users to transfer the wallet amounts back into
their bank accounts. In August 2016, PayU had
received a semi-closed prepaid wallet licence
from the RBI.
From the Venture
Intelligence M&A Deals Database:
PayU had acquired Citrus Payment Solutions in
Sep 2016. In Oct 2014, it had acquired Eashmart,
a mobile-based payment application startup.
ICICI Bank takes ABG unit Western India
Shipyard to NCLT
Economic Times
Private lender ICICI Bank has initiated
insolvency proceeding against Western India
Shipyard, a subsidiary of ABG Shipyard,
which too is facing bankruptcy proceedings.
The company has outstanding debt of INR 130
crore and had reported losses of INR 39
crore as on March 2016. Lenders have
appointed O M Kanoongo as interim resolution
professional and the board of the company
has been dissolved.
Economic Laws Practice ("ELP") is a leading full-service Indian law firm established in the year 2001 by eminent lawyers from diverse fields. The firm’s Private Equity & Venture Capital practice brings onboard a unique understanding of commercial matters and legalese to be able to provide effective solutions to all stakeholders in a transaction. The team looks at providing a bespoke legal service experience, which is sector agnostic in nature and driven towards successful consummation of the relevant transactions.
ELP advises clients on all aspects of private equity and venture capital transactions, whether from a fund formation perspective or a potential portfolio investment or a relevant exit transaction. Our services include right from conceptualising a structure, to conducting the legal due diligence exercise, to the preparation of the relevant documentation, to providing assistance to the final closure including negotiations and corporate secretarial assistance.
ELP is the firm of choice for clients because of its in-depth expertise, continuous availability, geographic reach, transparent approach, competitive pricing and most importantly the involvement of partners in every assignment.
“Avalon Consulting, among Asia’s top-rated consulting firms, is proud to announce a partnership with Cordence Worldwide. With this partnership, Avalon becomes the 11th member firm of the partnership, which now has 3000+ professionals, a presence in 23 countries through 70+ network offices around the world. For more details click here”
Founded in 1989, Avalon Consulting is an international management consulting firm that offers services in growth strategy, business transformation and transaction support to clients across a wide range of sectors including Agribusiness, Automotive, Chemicals, Construction, Education, Engineering, FMCG, Healthcare, Pharmaceuticals and Retail. It has offices in Mumbai, Delhi, Chennai, Bangalore and Singapore serving clients across India, Middle East, South East Asia, China, Europe and the US. Avalon Consulting is a member firm of Cordence Worldwide, a global management consulting partnership.
Connect with Avalon Consulting on Twitter, Facebook and LinkedIn to receive interesting insights and updates.
Basiz is a high end and specialized fund accounting service provider with international footprints, with offices in Mumbai, Chennai and Coimbatore in India, besides Singapore, London and New York. Basiz primarily focuses on servicing Fund administrators, Hedge Funds, Mutual Funds, Private Equity / Venture Capital Funds, Family Offices, REIT Funds, Insurance Portfolios and Managed Accounts.
Contact Information
Sesh A.V ACA, Managing Director
Basiz Fund Services Pvt. Ltd
M: +918286008554, E:
sesha@basizfa.com
http://www.basizfa.com
Spark
Capital is one of India’s leading mid-market, full-service
Investment Banks. Having our genesis from the south in 2001
and now having a pan-India presence, we offer services
encompassing Investment Banking, Institutional Equities,
Fixed Income Advisory and Wealth Advisory. Our key
differentiator is the ability to offer services that benefit
from an amalgam of the experience of our founding members
and the contemporary thinking of our young leadership team.
Our core values of integrity; putting customers first; and
seeking partnerships that are mutually beneficial, help us
build sustainable, long-term relationships with clients. Our
services include equity and debt capital raising in private
and public markets; M&A advisory; research-led public-market
stock ideation; and customised wealth advisory solutions.
Sectors where we have built considerable domain strength and
transaction experiences are BFSI, Healthcare, Consumer,
Technology, Infrastructure and Industrials. Our commitment
to staying the course with respect to our core values; our
strong entrepreneurial culture; an ability to attract and
retain high quality talent; and our gradual expansion of
markets and services has served as cornerstones of our
evolution. Over the past three years, we have advised on
over 30 deals aggregating to USD 1.8 billion; scaled up
research coverage to over 200 listed stocks; and rapidly
grown assets-under-advice on the back of above-market
performance of client portfolios.
For more details
please visit
www.sparkcapital.in
Tatva Legal is a full service law firm with offices across five locations in Bengaluru, Chennai, Gurgaon, Hyderabad and Mumbai founded in 2010 with 16 Partners and 80 Lawyers. The firm acts for both national and international clients.
As a full service firm, Tatva Legal provides a broad range of legal services whilst focusing on its core areas of practice corporate advisory, private equity and mergers and acquisitions, banking and finance, infrastructure and real estate.
The M&A team has extensive experience in representing private equity players, venture capitalists and corporates (including several Fortune 500 companies) in a multitude of specialised and sophisticated transactions, in both domestic and cross border deals.
The firm has an active practice in advising Banks and Non-banking Financial Companies in their fund deployment including listed corporate bonds, mezzanine debt and lending.
The firm is highly recommended for Real Estate transactions and has advised Developers, Funds and End Users like Hotels & Hospitals, SEZ, IT Parks across India.
The other areas of Practice include Insurance, Competition / Anti Trust, Projects Technology & dispute resolution.
N.K.Dilip
E:
nk.dilip@tatvalegal.com
Tel. +91 80 43311433
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