Piramal Enterprises Ltd decided to acquire 20 percent stake in Shriram Capital
Piramal Enterprises Ltd acquired 20 percent stake in Shriram Capital Ltd for 20.14 billion rupees.
Piramal Enterprises Ltd decided on 17 April 2014 to acquire 20 percent stake in Shriram Capital Ltd for 20.14 billion rupees. The new acquisition will make Piramal presence in financial services sector and will create a long-term shareholder value-creation of partnership with Shriram Capital.
Piramal had invested 1636 crore rupees in May 2013 to acquire 9.9% equity in Shriram Transport Finance Co. Ltd, one of the listed non-banking finance company (NBFC) forming part of the Shriram Group.
On 10 April 2014, Piramal Enterprises had sold its 11% stake in Vodafone India Ltd to Prime Metal Ltd, an indirect subsidiary of Vodafone Group Plc, for 8900 crore rupees, marking another milestone in the transformation of Ajay Piramal from a healthcare czar to one of India’s largest financiers.
Ajay Piramal, chairman of Piramal Enterprises had also hinted that he had plans to increase the company’s stake in Shriram Transport Finance Co. Ltd.
About Piramal Enterprises:
The Piramal Group or Enterprise is a global conglomerate that comprises of various companies that operate in different sectors including critical care, pharmaceutical solutions, consumer products, lab diagnostics, vitamins and fine chemicals, drug discovery, healthcare information management etc,.
About Shriram Capital
Shriram Capital is a Chennai-based Shriram group which includes Shriram Transport Finance Co Ltd and Shriram City Union Finance.
Sanlam, South African financial services company, a joint venture partner of the Shriram Group owns a 26 percent stake in both life and general insurance. US-private equity firm TPG Capital holds a minority stake of 10 percent in Shriram Capital.