Baring Private Equity Asia to Acquire a 41.8 Percent Stake in Hexaware (Asia)
Posted On: 23 Aug 2013 |
Source: Hexaware Technologies
Asia-focused private equity firm Baring Private Equity Asia (BPEA) has signed definitive agreements with Hexaware Technologies, a global provider of IT and business process outsourcing services, to purchase a 41.8 percent stake in Hexaware for INR15.8 billion to INR16.9 billion (approximately US$242 million to US$260 million). BPEA will buy approximately 125 million Hexaware shares for INR126 or INR136 (approximately US$1.93 or US$2.09) per share, with the higher price contingent on BPEA’s stake reaching 50 percent or above in the transaction. BPEA will purchase the stake from company promoters Atul Nishar, chairman and founder of Hexaware, and GA Global Investments, an affiliate of global growth equity investment firm General Atlantic. To comply with requirements under the Securities and Exchange Board of India, BPEA will also make an open offer to public shareholders to purchase up to an additional 26 percent stake at INR135 (approximately US$2.07) per share. Including the open offer, BPEA’s total potential investment in Hexaware is over US$465 million. Subject to regulatory approvals, the transaction is expected to close by the end of the year.