Grapevine: Tata Motors, others eye BEML stake; Aditya Birla Group to list AMC

By Ankit Agarwal

  • 08 Mar 2021
Credit: VCCircle

ata Motors, Mahindra and Mahindra, Ashok Leyland and others are eyeing a 26% stake in state-run defence equipment maker BEML, a Mint report said citing two people. 

Bharat Forge and Megha Engineering and Infrastructure may also submit expressions of interest. 

The government, which owns 54% in BEML, invited expressions of interest for the stake sale along with transfer of management control on 4 January.

The move will bolster the government’s efforts to raise funds via asset sales during the next fiscal year. The government hopes to generate Rs 1.75 lakh crore from disinvestment receipts in the coming fiscal. 

  Separately, Aditya Birla Group plans to list Aditya Birla Sun Life Asset Management through a Rs 5,000 crore initial public offering (IPO) likely to be launched in the June quarter, three people told Mint

“The asset management company (AMC) is planning to offer around 20% to the public in the proposed IPO at a valuation of about Rs 26,000 crore,” said one of the persons. 

“The IPO is most likely to be done through the offer-for-sale (OFS) route as per ongoing discussions,” another said.  

Also, Tata Digital, the digital arm of the Tata group, is looking to pick up a strategic stake in online search engine for local businesses, Justdial, to enter the ecommerce space, The Economic Times said citing multiple people. 
Tata Digital has held talks with multiple partners as it hurries to finalise its super app that combines many services and products under a single umbrella, according to the people cited above. 

Separately, Indian generic drugmaker Emcure Pharmaceuticals is planning to raise up to Rs 4,000 crore in an IPO that could be launched in a couple of months, people told The Economic Times. 
The company is looking to dilute up to a 20% stake in the IPO that will consist of new shares and an OFS from promoter Satish Mehta and investor Bain Capital

The IPO could be the second biggest in India’s pharmaceutical sector after Hyderabad-based Gland Pharma’s last year which raised about Rs 6,500 crore. 

Emcure first planned to go public in 2014 but did not pursue the plan after Bain Capital invested in the company, which took care of immediate liquidity needs.  

Also, Global PE firm Carlyle, the sole bidder for Blackstone-controlled Mphasis, may walk away from the biggest technology takeover in India over valuation differences as the IT firm's shares continue to soar, people told The Economic Times.