Mumbai: Private equity firm Bain Capital has acquired an additional 10% stake in Himadri Chemicals in an open offer taking its total stake in the Kolkata-based company to over 25%, a source close to the development said.
About two-months ago, Bain Capital had taken a 15% stake for $54 million (at Rs400 per share) in the company.
Consequent to this, Bain had to make an open offer as required by the guidelines of market regulator Sebi.
Bain officials could not be reached for comments.
The private equity firm has now acquired a 10% stake for $35 million, again at Rs400 per share.
Now Bain Capital holds above 25% stake in Himadri Chemicals at $89 million, the source said.
Himadri Chemicals is a leading manufacturer and distributor of chemical products.
Bain’s stake of over 25% is one of the largest growth capital stake held by a private equity firm in a listed Indian company.
Himadri’s stock is currently trading at Rs465 on BSE, which is at over 15% premium to the open offer price of Rs400.
Bain Capital’s investment would be used to expand Himadri’s business as well as to further forward integrate into other value-added downstream products, the source said.
Boston-headquartered Bain Capital is a global private investment firm that manages several pools of capital including private equity, venture capital, public equity, high-yield assets and mezzanine capital with around $65 billion in assets under management.
Since its inception in 1984, Bain Capital has made private equity investment and add-on acquisitions in over 300 companies in a variety of industries around the world.
Bain Capital has offices in New York, London, Munich, Hong Kong, Shanghai, Tokyo, and Mumbai. Bain Capital in India is headed by Amit Chandra, the former investment banker from DSP Merrill Lynch.