Kishore Biyani-led Pantaloon Group is close to making yet another announcement regarding stake sale to rationalise its debt. The company this time is looking at selling stake in its non-banking financial company Future Capital Holdings (FCH), sources said.
The company is expected to make an announcement on Tuesday wherein US-based private equity firm Warburg Pincus will pick a sizeable stake in FCH.
The senior executives at the retail firm are tightlipped about the development. “There will be an announcement soon,” said a source at the company.
The deal size is not known. Though FCH is looking at a price of Rs 180 per share, a premium of 30%. Meanwhile, Pantaloon Retail Industries Ltd (PRIL) has initiated the process to transfer 53.7% stake that it owns in FCH.
In a disclosure to stock exchanges on May 14, 2012, FCH had said its parent company PRIL will transfer its 53.7% stake in the company to Future Value Retail.
“The proposed transfer will be completed within 90 days starting May 18, 2012. Around 34 million shares would be transferred by Pantaloon Retail India to Future Value Retail at a weighted average market price of Rs 133.9 per share,” PRIL’s BSE filing noted.