Mumbai: Leading NBFC L&T Finance Holdings on September 21, said it sold 5.27 per cent promoter stake to leading private equity firm Bain Capital through an issue of preferential shares and warrants for about Rs 708 crore. L&T Finance board has decided to raise capital (Rs 707.87 crore) by way of preferential issue of eligible securities and warrants to Bain Capital Investments VI and Bain Capital Asia Growth Investments (collectively referred to as Bain Capital) respectively, subject to approval from shareholders and relevant statutory/regulatory authorities, the company said in a statement.
The company would issue an aggregate of 9,56,57,961 equity shares and warrants at Rs 74 per share/warrant, amounting to an infusion of Rs 707.87 crore, constituting 5.27 per cent of the post-issue equity share capital on a fully diluted basis. Under the agreement, BA will be issued 3,18,36,971 equity shares at Rs 74 per share, amounting to Rs 235.59 crore or 1.75 per cent of the post issue equity share capital on a fully diluted basis to BC Investments VI, while 6,38,20,990 warrants at a price of Rs 74 per warrant or 3.51 per cent, amounting to Rs 472.27 crore to BC Asia Growth Investments.
Warrants may be exercised by Bain Capital within 18 months from the allotment date or accelerated after six months from the date of allotment based on the company’s capital requirement, L&T Finance said. The company said it will seek shareholders approval for the deal through a postal ballot.
