Ajay Piramal-controlled Piramal Enterprises Ltd has raised ₹1,500 crore from Standard Chartered Bank through non-convertible debentures (NCD), Mint reported citing two people aware of the development.The money will be used to meet working capital requirements of the group, including for the lending business Piramal Capital and Housing Finance and will go towards near term debt-related payment obligations that have a repayment date in January 2020. In the past week, according to Piramal Enterprises’ regulatory filings, the company has made principal and coupon payments on outstanding debt worth around ₹1,700 crore. These comprised large loans from HDFC Bank and Deutsche Bank, which had subscribed to NCDs worth ₹1,000 crore and ₹590 crore respectively in 2016. The financing from Standard Chartered is part of the group’s plans to raise more debt financing from long-term sources of funds, of which banks contributed 71% of its total borrowing mix as of 31 March, up from 49% at September end.
Investcorp closes maiden India PE fund at ₹1,000 crore
Alternative assets manager Investcorp has closed its maiden India-focused private equity (PE) fund at ₹1,000 crore (around $150 million), Mint reported citing senior executives at the firm. Bahrain-based Investcorp entered India earlier this year, when it acquired the private equity and real estate fund business of IDFC Alternatives. Investcorp’s maiden India fund is a top-up of IDFC Alternatives’ fourth PE fund, which managed to raised around $70 million before the acquisition by Investcorp. Investcorp is also managing the third PE fund raised by IDFC Alternatives. Most of the fresh capital came from high-net worth individuals (HNIs) from the Gulf countries that have earlier been associated with Investcorp, along with domestic and international institutional investors. The PE fund is mandated to focus on sectors such as consumer, financial services and healthcare and has already made four investments totaling ₹270 crore in India.
SmartE raises ₹100 crore from Japan’s Mitsui
Treasure Vase Ventures Pvt. Ltd, the parent of SmartE, one of India’s largest electric mobility service provider, has raised ₹100 crore in series B funding from Japan’s Mitsui and Co., Mint reported citing Goldie Srivastava, co-founder and CEO, SmartE. Delhi-based SmartE, which operates a fleet of more than 1,000 electric rickshaws in Delhi NCR, plans to grow it to 10,000 electric three-wheeler units and expand operations to at least two cities in south India and three in the northern region in the next two years.The five-year-old startup had raised $5 million in 2017 from Singapore’s Ecotransit Investments International Pte Ltd in a series A fundraise. Until now, SmartE has raised more than ₹132 crore. The company did not share its current valuation citing Mitsui’s compliance rules which is listed in Tokyo.
Visa, others invest in PayMate’s $25 million round
Business payments start-up PayMate has raised funds from international card payments giant Visa Inc., among others, as part of its Series D funding round, to accelerate growth and expand its business overseas, Mint reported citing Ajay Adiseshann, founder and CEO, PayMate. As part of its ongoing $25 million round that it plans to finish in the next 60 days, the new investors joining in include Visa, Recruit Strategic Partners, the venture capital arm of Japanese human resources firm Recruit Holdings, and Brand Capital, the investment arm of media conglomerate Times Group. Existing investor Mayfair 101, an Australian corporate advisory firm also participated in the round. PayMate, a cloud-based platform that enables enterprise and small and medium businesses to automate and digitize their entire procurement-to-payment cycle, also counts venture capital fund Lightbox Ventures as a major investor and early backer, although Lightbox did not participate in the current round.
Canada’s pension fund OMERS seeks new green energy deals
Canadian pension fund Ontario Municipal Employees’ Retirement System (OMERS) is scouting for acquisition opportunities in India, in an affirmation of the country’s position as a green energy hot-spot. This comes at a time when India has become one of the top renewable producers globally with ambitious capacity expansion plans, and is expected to require investments of around $80 billion till 2022, growing more than three-fold to $250 billion during 2023-30. OMERS portfolio includes large-scale infrastructure assets in sectors such as energy, transportation, and government-regulated services. The infrastructure projects that OMERS has invested in include the London City airport, nuclear power station Bruce Power—Canada’s private nuclear generator—in Ontario, and the port of Melbourne in Australia.
Tatas in talks with GIC to sell roads business
Tata Realty and Infrastructure (TRIL), a wholly-owned unit of Tata Sons, is set to exit its four National Highways Authority of India (NHAI) toll road projects, for which preliminary talks are on with Singaporean sovereign fund GIC Pte, The Economic Times reported citing two people aware of negotiations. Even though feelers were sent out to global investors such as Macquarie, Cube Highways and Canadian fund CDPQ, the management at TRIL has already begun discussions with GIC. The company has appointed Ambit Capital to find a buyer and the formal sale process is expected to begin in a couple of weeks. Two of the assets are operational — the Durg Bypass in Chhattisgarh and the 110-km Pune-Solapur Expressway on NH65 in Maharashtra. The other two are under construction — the 120-km Hampi Expressway section of NH13 in Karnataka, and Uchit Expressway of 93.5 km from Chittorgarh to Udaipur on NH76. Earlier, CDPQ and TRIL discussed setting up a platform as the fund’s entry vehicle into the Indian roads sector, but talks remained inconclusive.
Temasek to exit Bengaluru office project in ₹2,500-crore deal
Singapore-based Mapletree Investments Private Ltd, a wholly-owned subsidiary of Temasek Holdings, is exiting its investment estimated at ₹2,500 crore in Global Tech Park, Bengaluru, — one of the largest commercial private equity exits in India and the largest in the city, The Economic Times reported citing people familiar with the development. The private equity firm, which acquired 100% in the property earlier known as Assetz Global Technology Park in 2011 for ₹800 crore, saw its investment more than triple in eight years. Global Tech Park is an integrated mixed-use development which has developable area of 15 acres, which provides office space to large corporates including Vodafone and LinkedIn. Mapletree had made the investment through the Mapletree India China Fund that had raised $1.2 billion in committed capital at final close in August 2008. The dual-country fund invested primarily in commercial, residential and mixed-use property projects in tier I and II cities.
Sterlite Power, Welspun, IARC, others bid for Punj Lloyd
Bankrupt engineering company Punj Lloyd has received initial bids from both strategic players and asset reconstruction companies, including Sterlite Power, Welspun Enterprises, International Asset Reconstruction Company (IARC), Rare ARC and Eight Capital, The Economic Times reported citing a person aware of the development. A Singapore-based engineering company may also be a prospective bidder. Punj Lloyd, which belongs to the so-called second list of corporate defaulters named by RBI in 2017, is a diversified engineering, procurement and construction company which executes projects in the energy, infrastructure and defence sectors. The company was referred to the National Company Law Tribunal (NCLT) in June 2018 by ICICI Bank Ltd to recover dues worth ₹ 852 crore, according to a Mint report.
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