India Digest: Keventer, Jaiprakash Power stake sale; Kerala’s $78m fund-of-funds

Mandala Capital has acquired close around 15 per cent stake in Keventer Agro, while 11 suitors have lined up to acquire stake in Jaiprakash Power. Also, Kerala government is planning a $78 million fundof-funds.

Mandala Capital acquires around 15% stake in Keventer Agro

Singapore-based Mandala Capital has acquired around 15 per cent stake in Keventer Agro for $25 million, according to a Times of India report quoting sources.

The deal puts an enterprise valuation of Rs 1,200 crore for Keventer Agro, the holding company for the food business of Keventer Group of Jalans.

The company is likely to use the  the money for the expansion of its dairy business arm branded as Metro Dairy,  which is  a 100% subsidiary of Keventer Agro.

Last month Keventer Agro bought back the minority stake held by West Bengal government in Metro Dairy. Besides dairy, Keventer has a presence in processed foods, fresh fruits and vegetables.

Adani, JSW express interest to buy stake in Jaiprakash Power

Adani Power, JSW Energy and Resurgent, a joint venture of ICICI Ventures and Tata Power, are among the 11 suitors that have put in expressions of interest to acquire stake in Jaiprakash Power Ventures, said a Business Standard report.

Bidding for the buy-out of lender stake concluded earlier this week, said one of the sources quoted in the report

Jaiprakash Power is under strategic debt restructuring (SDR), and a consortium of banks, including IDBI and SBI, had taken over the company last year.

The company’s total public shareholding stands at 68.84 per cent, which includes 51 per cent equity with lenders whose debt was restructured.

Kerala plans $78m fund-of-funds to back startups

The Kerala government is planning to create a fund-of-funds with a corpus of Rs 500 crore ($78 million) to invite investors to back startups in the state, as per a report in The Economic Times.

According Saji Gopinath, chief executive of the Kerala Startup Mission (KSUM), the target is to create a corpus of Rs 500 crore for Kerala-based startups over the next three years.

“Kerala doesn’t have large angel funds or established angel networks, so we are attracting early stage funds to invest in startups in the state,“ Gopinath told the news paper. “While the government doesn’t have the expertise to invest in startups, it is a good idea to invest through (Alternative Investment Fund, or AIF) category early-stage funds.“ he added.

Under this plan, KSUM has invested Rs 10 crore in Unicorn India Ventures’ Rs 100-crore fund, and signed a pact with Bengaluru-based SEA Fund to invest in Kerala based startups.

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