Mumbai: An affiliate of Singapore sovereign wealth fund GIC plans to take control of Mumbai-cased Nirlon Ltd in a deal estimated to be worth up to $197 million (Rs 1,248.8 crore at 1 dollar = 63.3950 rupees), the companies said on Tuesday.
Reco Berry Private Ltd has agreed to purchase up to 30.8 million shares, or a 34.2 per cent stake, from some shareholders of Nirlon at Rs 222 apiece, according to a joint statement.
Reco Berry will also make a tender offer for public shareholders of Nirlon, which owns an information technology office park in Mumbai, to buy a 28.4 per cent stake at the same price, the statement said.
If the tender offer is fully subscribed, Reco Berry will hold 62.6 per cent of Nirlon after the offer, the statement said.
Reco Berry said it had also signed definitive agreements with some other shareholders for a 5 per cent stake in Nirlon, subject to conditions. Separately, it is in talks with another group of shareholders of Nirlon to buy about 2 per cent more, Reco Berry said.
Shares in Nirlon, on Tuesday, ended at Rs 193 in Mumbai trading on Tuesday, ahead of the announcement.
Copyright @ Thomson Reuters 2014
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