US-based private equity (PE) major Blackstone has signed a deal to acquire Ajay Piramal-led Piramal Group’s Piramal Glass for around $1 billion (around Rs 7,500 crore).
Blackstone has agreed for an upfront payment of $850 million to Piramal Group, following which it will take over the ownership and management of Piramal Glass, while the rest $150 million will be paid over 2 years to the group on achieving certain milestones, reported CNBC-TV18.
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Piramal Group that has a large NBFC arm has been trying to raise fund via various means and this will be the second billion-dollar deal by the group this year.
Earlier in the year, it had sold US-based DRG for around a billion dollars, apart from raising funds via a rights issue, CDPQ investments, sale of a minority stake in Piramal Pharma to Carlyle, CNBC-TV18 said.
Since July 2019, Piramal Group has raised Rs 18,000 crore.
Piramal Glass, which makes container glass packaging with a capacity of 1,475 tons per day, has its factories in the US, India, and Sri Lanka. Firms including Coty, L'Oreal, Diageo, Pernod Ricard, and Sanofi take supply from Piramal Glass.
Meanwhile, the US-based PE major has assets in India worth $40 billion and has invested over $15 billion across Private Equity ($6.9 bn), Real Estate ($7.8 bn), and Tactical Opportunities ($400 mm), added the business website.
Earlier in July this year, besides selling a $300 million stake in Embassy Office Parks Reit and a small stake in Mindspace Business Parks Reit, Blackstone sold a 23 percent of its stake in Essel Propack Ltd for $252 million.
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