Infibeam-CCAvenue merger under scanner; Shapoorji hires banker for solar unit’s IPO

By Keshav Sunkara

  • 02 Jan 2019
Credit: VCCircle

Infibeam Avenues Ltd’s auditor has sought the report of a probe into the company’s merger with Avenues India Pvt Ltd, which operated payment gateway CCAvenue, a media report said.
BloombergQuint reported that SRBC & Co LLP, the audit arm of EY India, is seeking a detailed report from Infibeam.

Infibeam had acquired CCAvenues at a valuation of Rs 2,000 crore in an all-stock deal. 

Infibeam told BloombergQuint said the detailed report is being prepared but the matter is not being reinvestigated.

Meanwhile, Shapoorji Pallonji Group has appointed ICICI Securities as an investment banker for a planned initial public offering of its solar engineering, procurement and construction (EPC) business, Mint reported.

Citing two people aware of the development, the report said they will appoint more bankers as the work on the planned IPO progresses to an advanced stage.

Shapoorji Pallonji expects the valuation of solar business to be around $3.5-4 billion, according to the report. The solar EPC business is a part of Sterling & Wilson.

The group is also in talks for a pre-IPO placement in the solar business, Bloomberg reported in November last year.

Separately, the union cabinet on Wednesday approved the merger of Vijaya Bank and Dena Bank with Bank of Baroda. The amalgamated bank will be India's second-largest public-sector bank. The merger will be effective from 1 April.

As per the share swap ratio for the merger, 402 shares of Bank of Baroda will be issued for every 1,000 shares of Vijaya Bank while 110 shares of Bank of Baroda will be issued for every 1,000 shares of Dena Bank.

In September last year, the government had decided to merge Dena Bank and Vijaya Bank with Bank of Baroda as part of efforts to clean up the banking system.