Pantaloon to realign companies, raise Rs 1,500 cr in 2 months
Kishore Biyani’s Pantaloon Retail India intends to complete in the next two months legalities for its ambitious plans of raising Rs 1,500 crore and realignment of group companies for expansion.business Updated: Apr 15, 2009 12:18 IST
Kishore Biyani’s Pantaloon Retail India intends to complete in the next two months legalities for its ambitious plans of raising Rs 1,500 crore and realignment of group companies for expansion.
“Two months time is a good estimate (for the proposal’s completion),” a company source said here.
The Board of Directors of the BSE-listed firm met in Mumbai on Tuesday and approved raising Rs 367 crore through preferential allotment of shares and warrants.
It is believed that Future Group is in talks with Carlyle, Bain Capital, Blackstone, Kohlberg Kravis & Roberts for private equity funding of about Rs 1,100-1,200 crore.
“We are looking to raise funds independently without diluting any stake,” the source said, without giving details.
In a major realignment exercise, the board proposed to rechristen Pantaloon Retail India (PRIL) as Future Market & Consumer Goods (FMCG), which will be the holding company for its multiple subsidiaries.
It is believed that Big Bazaar and Food Bazaar (its value retail segments) may be hived off into a separate entity called Future Value Retail, if they find a suitable partner.
“The proposed company - FMCG Ltd - will be the holding company for our two main subsidiaries, which will be created to focus on fashion and retail,” Future Group founder and CEO Kishore Biyani told PTI.
First Published: Apr 15, 2009 12:17 IST