Deals buzz: Fairfax India to acquire 51% equity in Catholic Syrian Bank for Rs1,000 crore

In other news, Flipkart valuation cut again, this time by Vanguard, and IFC invests Rs450 crore for 29% stake in Apollo Health


A screen grab of the Catholic Syrian Bank website
A screen grab of the Catholic Syrian Bank website

Mumbai: Mint brings to you your daily dose of top deals reported by newsrooms across the country.

Fairfax India to acquire 51% equity in Catholic Syrian Bank for Rs1,000 crore

Canadian billionaire Prem Watsa’s Fairfax India Holdings Corp. has agreed to acquire a controlling 51% equity holding in Thrissur-based Catholic Syrian Bank (CSB) for around Rs1,000 crore.

The entire process for the stake acquisition is expected to be completed by March next year, S. Santhanakrishnan, the outgoing Chairman of the bank, said.

“We hope to get an in-principle approval from the RBI (Reserve Bank of India) in December and 90 days will be a good time to finish the process,” he told newspersons. Fairfax had applied to the RBI seeking permission to invest in an Indian bank in June.

The RBI, in turn, forwarded the proposal to CSB and the bank expressed its readiness on the deal. Read More

IFC invests Rs450 crore for 29% stake in Apollo Health

International Finance Corp. (IFC), the private sector lending arm of World Bank, has invested Rs450 crore for a 29% stake in Apollo Health and Lifestyle Ltd (AHLL), a unit of Apollo Hospitals Enterprise Ltd.

Apollo Hospitals, India’s largest healthcare provider, said that the deal has valued AHLL at Rs1,860 crore.

AHLL currently operates a range of formats that fill the space between home care and tertiary care hospitals. AHLL includes multi-specialty clinics—Apollo Clinics, Apollo Sugar, Apollo Diagnostics, Apollo White, Apollo Dialysis, Apollo Cradle, Apollo Fertility and Apollo Spectra —across India. It is present in 17 states, with over 400 customer touch points.

Apollo said the IFC investment would fund the proposed expansion plans across all formats of AHLL for the next two years, after which the company will look for a further round of funding. AHLL is also open for acquisitions to expand its network more aggressively. Read More

Quadria Capital to fully deploy $300 million fund by March-end

Private equity (PE) fund Quadria Capital is in advanced stage of discussion to invest in at least four companies by the end of March, marking the full deployment of its $300 million South and South-East Asia focused fund, a senior executive said.

“We are in the process of closing out four deals, which includes one deal each in Thailand, Vietnam and Singapore. We might end up doing one more deal in the Philippines,” said Amit Varma, co-founder and managing partner at Quadria Capital.

The firm is also looking at closing another deal in India, he added.

Quadria Capital has so far invested in 15 companies across six countries in the region, through three private equity funds. Quadria was founded in 2010 by Varma and Abrar Mir. Both Varma and Mir held senior positions in Religare Group businesses before starting Quadria. Read More

Flipkart valuation cut again, this time by Vanguard

US-based investment firm Vanguard Group has marked down the value of its holding in Flipkart by a third, further queering the pitch of India’s most valuable internet start-up amid its current fundraising efforts.

Vanguard Variable Insurance Funds, which invested in Flipkart in the series G and H rounds it raised in 2014, marked down the value of Flipkart shares by 33%, from $102.6 in March 2016 to $68.7 per share as on 30 September 2016, according to regulatory filings with the US Securities and Exchange Commission.

This brings down Flipkart’s valuation to about $7.3 billion from the $11 billion that it was valued at by Vanguard in March.

Vanguard’s valuation of Flipkart shares is still higher than Morgan Stanley’s estimate of its current holdings. Read More

Next Education acqui-hires Xolvr

Hyderabad-based learning solutions provider Next Education has acqui-hired Gurgaon-based education technology start-up Xolvr for an undisclosed amount, The Economic Times reported.

The founders of Xolvr will subsequently move to Hyderabad to integrate their platform into Next Education’s self-learning product LearnNext, the paper said.

The acquisition of Xolvr, which is an online one-to-one learning platform for high school students, will help to add a new element to LearnNext by offering students with a platform to access over 50 tutors.

This is its third acquisition in the last 12 months. Read More

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