Corporate
Aditya Birla To Build $10bn Financial Services Biz - Aditya Birla Group is planning to to build a $10 billion integrated financial service business, spanning everything from stock broking and consumer finance to life and non-life insurance. The group is planning to grow through both organic and inorganic method, reports Financial Chronicle. It is also planning a $200 million growth capital private equity fund.
i-flex Solutions Top Management May Quit – The top management of i-flex Solutions, including Deepak Ghaisas, R Ravisankar and Rajesh Hukku are expected to leave the firm in next few weeks, reports Economic Times. The top management played a key role in the evolution of the organization and after Oracle acquiring controlling stake in the firm, their independence has been curbed. Also their non-compete pact with Oracle ends in September.
Dinesh Waswani, K.P. Balaraj Join BoD of Firstsource Solutions - Venture capital industry veterans K.P. Balaraj (MD, Sequoia Capital India) and Dinesh Waswani (who recently left Temasek India to become Co-Head of Englefield India) have been appointed as Directors of Firstsource Solutions, the company said informing the Bombay Stock Exchange. Balaraj’s Westbridge Capital Partners, which was later merged with Sequoia, holds 4.56 per cent stake in Firstsource.
Mergers & Acquisitions
Raman Roy Plans Three Acquisitions in US - Quatrro BPO Solutions has prepared a $300 million warchest for overseas acquisitions, reports Times of India. The company has already bid for three companies with a total outlay of $250 million with largest being a $150 million bid for a company engaged in the mortgage business. Quattro has tied up with two PE funds for these prospective acquisitions.
HDFC In Talks To Buy GE’s Wizard – HDFC is in the process of due diligence to acquire GE Money’s Wizard, its home loan business in India, reports Financial Chronicle. GE Money had a home loan portfolio of over $1 billion and accounts for over 60 per cent of its consumer loan business.
Gopinath To Dilute 2% In Deccan Aviation, Start Hotel Venture - Capt GR Gopinath, who holds 9.11 per cent stake in Deccan Aviation, is planning to sell 2 per cent stake, reports Economic Times. Gopinath’s stake is valued at Rs 111 crore, at a price of Rs 90 per share and proceeds will be used to fund his air cargo business. In another report, Gopinath is planning to set up country-wide chain of mid-tier business hotels and resorts with 1,000 hotels across 100 cities. He will be joined by Madhu Konety, an investment banker from the US, and Girish Rao, former head of Tangerin Hospitality, reports Times of India.
NDTV Founders Sell Stake – A founder group of broadcaster New Delhi Television Ltd has sold off its 2 per cent stake in open market, reports Reuters. RRPR Holding Pvt Ltd now holds 7.57 per cent and the identity of the buyer is not known. In June, Prannoy Roy offloaded about two percent share in the company for about Rs 56.5 crore.
US Firm To Pick Up 10% In Epic Energy – Largest solar producer in US, Solar Energy Generating System is set to acquire 10 per cent stake in Mumbai-based Epic Energy, reports Business Standard. The deal size is expected to be around Rs 152-160 crore, where one million shares will be sold at a price of Rs 152-160 per share.
Sagar Cements Dilutes 6.7% Stake – Sagar Cements has issued fresh shares amounting to 6.7 per cent stake for Rs 70 crore to Vicat SA of France. Both the companies are setting up up a 5.5-million-tonne a year cement plant at a cost of Rs 2,500 crore in Gulbarga, Karnataka. This venture gives Vicat an entry into the Indian market.
Policy
FIPB Nod To 24 Proposals - Foreign Investment Promotion Board has given go ahead to 24 FDI proposals totaling Rs 753 crore, reports Financial Chronicle. The board approved Devas Multimedia for infusing fresh investment of Rs 317.85 crore in the Indian telecom sector. The proposals of Religare Enterprises and EXL Services were also cleared.
Dow Jones Seeks FIPB Nod – Dow Jones & Co Inc, the publishers of Wall Street Journal, have applied to FIPB seeking permission seeking permission to launch facsimile edition of the paper. The proposal was submitted on 29 July, reports Mint. Dow Jones was talking to HT Media about printing this edition and its content partnership with Mint will continue.
SEBI To Review PN Rules - Capital markets regulator SEBI is set to carry out a review of the rules relating to issuance of Participatory Notes (PNs) by foreign portfolio investors in its meeting on August 13, reports Economic Times. Also a review of the securities lending and borrowing system, and the status on the launch of currency futures will be discussed.
SEZ Policy Might Be Relaxed – The policy of a land ceiling of 5,000 hectares on an SEZ is likely to be relaxed in a meeting of empowered Group of Ministers, reports Financial Chronicle. The ceiling ddecision had affected several mega projects including those of the Reliance Industries, Omaxe and DLF. The panel is also likely to provide clarification on the definition of what constitutes a ‘vacant land’ for the purpose of using it for SEZ units.
Capital Markets
NHPC Plans $600 Million IPO - State-run National Hydroelectric Power Corp Ltd has filed a fresh DRHP for its $600 million initial public offering. The issue will involve sale of 1.67 billion shares, which would include 1.12 billion in fresh shares and account for 13.64 per cent of the post-issue paid up capital, Economic Times. SBI Capital Markets, Enam Financial Consultants and Kotak Mahindra Capital are advisers to the issue.
Cleartrip IPO in 2009 – Travel portal Cleartrip will come out with its IPO next year, reports Hindu Business Line. The company has raised $30.2 million in three rounds of funding from DFJ, Mahindra Group, Kleiner Perkins, Sherpalo Ventures and DAG Ventures and Gund. Cleartrip is also in talks with offline travel services providers for an acquisition.
Resurgere Mines & Minerals IPO – The company is planning to raise $30 million (Rs 121 crore) from its public offering which opens on August 11. The price band has been set at Rs 263-272 per share. Merill Lynch holds a 12.74 per cent stake in the firm, reports Reuters. The company plans to invest Rs 246 crore in setting up new facilities and expansion.