Private equity (PE) firm Westbridge Capital, through its unit Jwalamukhi Investment Holdings, has acquired a stake in tyre maker Ceat Ltd for Rs 184.8 crore through open market transaction on Wednesday.
In the process, Jwalamukhi Investment Holdings bought 1.43 million shares or 3.54 per cent stake at Rs 1,290.35 each from Kotak Mahindra (International) Ltd, according to a bulk deal data available on BSE.
Post this, Kotal Mahindra has completely exited the company.
An email sent to Sumir Chadha, managing director, Westbridge, for more information, did not elicit any response till the time of filing this article.
Westbridge Capital provides early, expansion, growth and late stage capital to public and private companies operating in India. It typically invests $10-80 million for a minority stake in companies across financial services, consumer services, healthcare, and information technology sectors.
As of December 31, 2016, Westbrige held a little over 8 per cent stake in the company.
CEAT, the flagship company of RPG Enterprises, was established in 1958. The tyre maker has a capacity of over 800 tonnes per day with a presence in global markets. It offers a range of tyres to all segments like heavy-duty trucks and buses, light commercial vehicles, earthmovers, forklifts, tractors, trailers, cars, utility vehicles, motorcycles, scooters as well as auto-rickshaws.
Ceat scrip closed at Rs 1288.45 each, up 0.04 per cent on BSE in a weak Mumbai market on Wednesday.
For Westbridge, this is the second investment by the PE firm since January this year. Last week also, it hiked its holding in portfolio company Relaxo Footwears for Rs 75.3 crore. The stake was bought from Kotak Mahindra.
Also Read:
