Carlyle Arm May Sell 5.1% in SBI Cards for $682 Mn
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CCI NG 3.17 Product: ETBangaloreBS PubDate: 18-06-2021 Zone: Bangalore Edition: 1 Page: ETBGCFM User: irien.joseph Time: 06-17-2021 23:47 Color: SMART INVESTING Religare Plans `2,000-cr Markets IPO For Care Health WWW.ETMARKETS.COM ET Beating Volatility BENGALURU, FRIDAY, 18 JUNE 2021 CA ROVER HOLDINGS holds 11.61% in India’s second-largest credit card INDIAN OIL COULD MOVE OUT firm; deal likely to take place today at `1,002-1,041.3 per share DMart, Info Edge may Carlyle Arm may Sell 5.1% Join the Nifty in Sept in SBI Cards for $682 mn Info Edge could draw inflows of $110 m, and launched its maiden initial public Rajesh.Mascarenhas SBI Cards and Payment offer (IPO) in which Carlyle sold 10% @timesgroup.com Avenue Supermarts could Share price on BSE (`) stake for `7,000 crore, making a gain 1200 1050.85 of 8.5 times in three years. get $140 m on inclusion Mumbai: US private equity fund Shares of SBI Cards have rallied CA Rover Holdings, an affiliate of 39% from its IPO price of `755. If the Carlyle Asia Partners, is looking 1000 planned block deal to sell 5% stake, Our Bureau to sell 5.1% stake in SBI Cards and 683.20 or 48 million shares, goes through, Payment Services worth $682 mil- 800 the Carlyle Group will have garne- Mumbai: Avenue Supermarts, ow- lion (`5,000 crore) through a block red a total of `15,800 crore, and will ner of DMart, and online job posting be on September 29. deal on Friday, a term sheet seen by continue to hold 6.51% stake, cur- website operator Info Edge (India) Info Edge falls short of the require- 600 ET showed. rently valued at `6,438 crore. are in the running for inclusion in ment of a stock having 1.5 times the The per share price band decided With nearly 1,012% returns in four the benchmark Nifty, according to average free float market cap of the by the seller is `1,002-1,041.30, which 400 years, it would be the best exit by a Edelweiss Alternative Research. smallest constituent in the index, sa- is up to 4.7% discount to Thursday’s Mar 16, 2020 Jun 17, 2021 PE fund on an Indian investment, The brokerage said currently the id Edelweiss. The trading days till closing price of `1,051.70 on the Na- trumping even Warburg Pincus’s calculations do not show any confir- July 30 will be crucial to move the ne- Kotak Downgrades Wipro tional Stock Exchange. to reduce its stake to 11.61% from big payday with Bharti, one that med Nifty inclusion or exclusion edle, the brokerage said. Info Edge As of March 31 this year, CA Rover 15.86%. sparked the private equity boom ti- candidates. will see a weightage of 55 basis po- to ‘Reduce’ After 30% Surge Holdings held 11.61% stake in SBI The Washington-headquartered me in India in the 2000s. Edelweiss said Avenue Supermarts ints or inflow of $110 million upon in- mes FY23 estimated ear- Cards and Payment Services. buyout group had acquired a 26% Carlyle has been investing heavily meets most of the criteria for inclu- clusion in the index. Avenue Super- Our Bureau nings per share, which imp- Email queries sent to the bankers stake in SBI Cards from the GE Gro- in the financial services space, ha- sion, the absent factor being that it is marts is likely to have a weightage of lies a consistent double-di- for the deal – Morgan Stanley and up in 2017 for `2,000 crore, valuing ving backed HDFC and PNB Hou- not a part of the derivatives seg- 72 basis points or $140 million on be- Mumbai: Kotak Institutio- git revenue growth — a Goldman Sachs – remained unans- the company at `7,200 crore. GE Ca- sing Finance. Former HDFC Bank ment. In case the stock gets introdu- ing included in the index. nal Equities has downgra- scenario which doesn't lea- wered till press time. Carlyle decli- pital exited SBI Cards as part of its CEO Aditya Puri has joined the fund ced in derivatives before the NSE an- Indian Oil Corp is likely to get ex- ded Wipro to ‘reduce’ from ve much on the table for in- ned to comment on the matter. global strategy announced in 2015 to as an advisor. In India, it is among nouncement of index rebalancing, cluded if any one of the above two ‘add’ following a nearly 30% vestors, the brokerage said. In March, Carlyle had sold a little exit the financial services sector. the most aggressive PE funds, ha- which normally happens in end-Au- gets included in the index, resulting surge in share price over Shares of Wipro ended up over 4% stake in SBI Cards for abo- In March last year, SBI Cards, Indi- ving deployed over $3 billion in the gust, there is a high probability of its in a weight reduction of 43 basis po- the past three months. 0.6% at `558.90 on Thursday. ut `3,800 crore through block deals a’s second-largest credit card firm, country, a fourth in 2020. inclusion in the Nifty, said Edelwe- ints or outflow of $82 million, said The stock trades at an ex- iss. The rebalancing date is likely to Edelweiss. pensive valuation of 23.4 ti- Continued on Smart Investing IBBI Plans Best Practices Code for Committee of Creditors with other related agencies are plan- ceptions. One of the considerations is [email protected] ning a code of best practices for the to obtain a “No Objection” certificate Committee of Creditors that would on the lines of those provided for re- Mumbai: The Insolvency and Bank- prevent arbitrary change in Resolu- placement of Statutory Auditors as a ruptcy Board of India (IBBI) is tighte- tion Professionals, misrepresenta- matter of professional ethics. ning the process for resolution of de- tion of data, interim funding that co- “An RP should not merely be repla- faulting companies to avoid charges uld quicken the process and realise ced on grounds of cost consideration. of bias and prejudice after a few cases better value. This is likely to result in undercutting ended up in disputes. IBBI, RBI, IBA did not and unhealthy competition," it is re- Indian Institute of Insolvency Pro- comment on the matter. commended. fessionals of ICAI (IIIPI) has submit- “Insolvency and Bank- CoC members, according to IIIPI ha- ted a report to IBBI, which is said to be ruptcy Code defines roles ve various expert reports like techno- in discussion with various stakehol- and duties of CoCs, but there is no economic feasibility reports, techni- ders including the Reserve Bank of In- mention on who should regulate cal reports which should be shared dia, Indian Banking Association them,” said one of the persons cited with RP and resolution applicants (IBA) and the government, three peo- above. (RA) to improve the quality of infor- ple with direct knowledge of the mat- Many times resolution professio- mation available to RA for better bids. ter told ET. nals are replaced as CoC mandates ci- The insolvency regulator jointly ting reasons based on doubts or per- Continued on Smart Investing.