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Sujana Towers picks up 51% in Mauritius company

Sujana Towers (STL), the power and telecom towers subsidiary of the Sujana Group, has acquired 51% stake in Telesuprecon, a Mauritius-based firm, which executes telecom infrastructure projects in Central and East Africa. The Hyderabad-based company acquired the stake by subscribing to new equity shares issued by Telesuprecon. “No money is being paid to the existing promoters. STL will support the company by providing the required working capital, including guarantees,” Sujana Group director S Hanumantha Rao said at a press conference in Mumbai on Wednesday. […]

Exide buys 51% in Leadage Alloys

The Rahejas-owned Exide Industries has picked up a 51% stake in Leadage Alloys India (LAIL), an unlisted Bangalore-based lead smelting company, for Rs 34 crore. Following the agreement between the two companies, LAIL along with their associates will continue to hold the balance 49 % in the company’s total paid-up capital. According to the agreement, the promoters of LAIL will be in charge of the company’s day-to-day operations. The acquisition comes on the heels of Exide Industries’ buyout of another unlisted lead-smelting company Tandon Metals s in October last year for Rs 25 crore. Since global lead prices have been on an upswing, the two acquisitions are expected to help Exide increase its use of recycled lead and lead alloys for making storage batteries. And this would, in turn, reduce the company’s dependence on imports of lead — the principal raw material for storage batteries. […]

PEs are driving force in brokerage consolidation

Private equity firms could drive brokerage consolidation — it’s probably a connection that is hard to decipher for most people. By all indications, it does seem as if the consolidation among brokerages has been driven by private equity firms. Here’s how the story has been unfolding. Over the last two years, there have been a slew of private equity players making significant investments in broking firms. Among the prominent deals are those of Citi Venture Capital acquiring a 85% stake in Sharekhan in a Rs 650-crore deal, it also picked up 19.9% in Anand Rathi for Rs 100 crore and Barings PE arm Duckworth picked up a 45% stake in JRG Securities for Rs 150 crore. Apart from this, ICICI Ventures and Barings Private equity bought into Karvy Stock Broking with a 20% stake for Rs 440 crore and IFC picked up a 12.5% holding in Angel Broking for Rs 150 crore. […]

NYLIM to pick 21.5% in KFC franchisee

Foreign private equity fund NYLIM Jacob Ballas India Fund is close to picking up 21.5% equity stake in Devyani International (DI), a Ravi Jaipuria-promoted company that owns Pizza Hut, KFC and Costa Coffee in India, for more than Rs 300 crore. That puts the valuation of the company at around Rs 1,500 crore. When contacted by ET, RKJ Group chairman Ravi Jaipuria declined to comment. But a source said that Jacob Ballas is currently awaiting the Foreign Investment Promotion Board’s (FIPB) approval. The proposal will come up for clearance next week. Devyani International is a leading franchisee of YUM! Restaurants International, the world’s largest restaurant company with over 34,000 restaurants in more than 100 countries. Devyani runs KFC and Pizza Hut chain of restaurants and is also the Indian franchisee of UK’s Costa Coffee chain. The company also has an agreement with Walt Disney Group to own and operate Disney Artist stores across India. […]

Tatas pick up 50% in China telecom firm

Tata Communications International, a wholly owned subsidiary of Tata Communications Ltd, has acquired a 50 per cent stake in China Enterprise Communications Limited (CEC), a Beijing based value-added telecom and IT services provider. The joint venture will become effective after the necessary government and regulatory approvals. “Through Tata Communications, we will focus on the development of the domestic market to provide high quality networking service to multinational companies in China. We intend to grow the strength of the brand,” said Zhu Jianhua, president and chief executive officer of CEC. The company was recently awarded a nationwide service licence by China’s ministry of information industry, the first valued-added service licence given to a virtual private network (VPN) operator. […]