PE giant Blackstone lines up three IPO exits from India in 2021

Blackstone Entrepreneurs Network. Photo: Blackstone

By Staff Writer @ LiveMint

January 13, 2021

Blackstone Group has lined up a robust pipeline of exits from its India portfolio this year. The New York-based alternative assets manager is in the process of taking three portfolio companies public, including a US listing for an IT services company, said two people familiar with the development.

In all, Blackstone is preparing for at least four liquidity events during the year.

Portfolio company TaskUS, a business process outsourcing (BPO) service provider, is expected to list in the US later this year, the people cited above said, on the condition of anonymity. The size of the proposed initial public offering (IPO) is still being finalized, they added.

TaskUS did not respond to emailed requests for comments. Blackstone declined to comment.

Blackstone took an undisclosed majority stake in the BPO firm in late 2018 for at least $250 million, which valued it at twice the size at the time. It is also preparing to take portfolio companies Aadhar Housing Finance Ltd and Sona Comstar public this year.

Blackstone had acquired a majority stake in Sona BLW Precision Forgings Pvt. Ltd, which was then merged with Comstar Automotive Technologies Pvt. Ltd to create Sona Comstar. The combined auto business could be listed this year after April or May, if the market rally sustains, one of the people cited above said. The IPO is expected to be sized at ₹3,500- ₹4,000 crore, the people added. Meanwhile, Blackstone has hired merchant bankers for a ₹7,000- ₹7,500 crore IPO of Aadhar Housing, the people cited above said. It had invested about $500 million in the company in 2019.

The exact offer for sale for TaskUs is not clear but it would not involve a full exit for Blackstone, the second person said. Earlier, when Blackstone listed the Embassy Office Parks Real Estate Investment Trust, it did not sell any stake until after a year, the person said. When the PE firm listed Mumbai-based fragrances and flavours maker SH Kelkar, it sold part of its share in the IPO.

In what could be the fourth liquidity event for Blackstone this year, the firm is also looking at a possible exit from its investment in mid-tier IT services firm Mphasis with several private equity investors looking to acquire a stake in the business, an Economic Times report said earlier this week.

This article was first published on livemint.com.

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In Singapore, we are looking to double our reporting team by this year-end to comprehensively cover the fast-moving world of funded startups and VC, PE & M&A deals. We want reporters who can tell our readers what is really happening in these sectors and why it matters to markets, companies and consumers. The ability to write precisely and urgently is crucial for these roles. Ideal candidates must have to ability to work in a collaborative, dynamic, and fast-changing environment. We want our new hires to be digitally savvy and ready to experiment with new forms of storytelling. Most importantly, we are looking for hard-hitting reporters who work well in a team. Collaboration and collegiality are a must.

Following vacancies can be applied for (only in Singapore).

Following vacancies can be applied for (only in Singapore).   

  • A reporter to track companies/startups that have raised private capital, and have the potential to become unicorns. SEA currently has over 40 companies with a valuation of over $100 million and under $1 billion.
  • A reporter who can get behind the scenes and reveal how funding rounds are put together, or why they’ve failed to materialise. She/he in this role will largely focus on long-format stories. 
  • A journalist to track special situations funds, distressed debt and private credit (from the PE angle) across Asia.
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