Shriram Finance said U.S. private equity firm TPG sold its 2.65% stake in the non-banking financial company to some investors in an open market transaction.
“They (TPG) still remain partners in the group’s insurance business. We believe they will look to deepen the relationship for newer opportunities within the group,” Umesh Revankar, executive vice chairman of Shriram Finance, said in an emailed statement to Reuters.
The Business Standard newspaper first reported on the stake sale on Monday, pegging the transaction at 14 billion rupees ($170.9 million) and said that pharma and real estate conglomerate Piramal Group is also expected to sell its 8.3% stake in the shadow lender soon.
Over 136,000 shares changed hands in three block deals, as of 3:09 pm IST, in the price range of ₹1,471.2 rupees to 1,476 rupees at a 5-5.3% premium to Friday’s close, according to Refinitiv data.
Shares of Shriram Finance, which became India’s largest non-banking finance company last year following the merger of Shriram Transport Finance Co and Shriram City Union Finance, hit an upper circuit on Monday. The shares closed nearly 5% higher at ₹1,469.85.
Promoters own a 25.1% stake in the Chennai-based company, according to NSE data.
Piramal and TPG did not immediately respond to a Reuters request for confirmation.
For all the latest business News Click Here
