Mumbai: The company’s private equity US Advent International has agreed to buy Indian water cleaners and Eureka Forbes vacuum cleaners, the company said on Sunday, assessing Rs 4,400 crores, including debt.
Adventists, who oversee the assets of $ 75 billion, will buy a home appliance business from the Shapoorji Pallonji (SP) group, at the end of the month of negotiations that saw many private equity companies and strategic players competing for assets.
Reported on September 10 that Adventists led the race to take Eureka Forbes.
Located under Forbes & Co registered in public as a 100% subsidiary, Eureka Forbes will be underestimated into an independent company and then registered on the stock market as part of the ongoing restructuring step.
The Demerger scheme is currently awaiting court approval.
After the listing, Adventists will buy around 73% Equity Eureka Forbes from SP.
After that, it will make an open offer for an additional 26% of the company.
SP Directors, suggested by Standard Chartered Bank and Law Firm Desai & Promised, consider an agreement to “unlock for shareholders”.
Transactions will enable SP, which has 18% stake in Tata Sons, to reduce RS 30,000 crore debt and sharpen the focus on its flagship construction business.
The group also wants to sell Sterling & Wilson Solar, AFCONS infrastructure and some real estate assets.
“We are pleased that Eureka Forbes, a gem in the SP group, has found a new home with arrival, while at the same time opening value for shareholders,” said the Executive Director Jai Mavani.
“This transaction also reflects our goals and strategies which are declared significantly and focused on our core competencies and businesses.” The Forbes Eureka Incumbent team led by Marzin Shroff will continue to guide the company to the next growth phase.
This will be the fifth purchase for the arrival in the consumer sector since he began investing in India in 2007.
It opened an Indian office in Mumbai two years later.
Over the past 14 years, it has been deployed by $ 2.2 billion in 16 Indian companies throughout the industry.