Warburg Pincus sells $69m stake in India’s AU Small Finance Bank

Private equity investor Warburg Pincus on Thursday sold 2.26% stake in AU Small Finance Bank for 516.74 crore, through open market transactions.

The block deal data available with the BSE showed that Redwood Investment Ltd, an entity owned by Warburg Pincus, disposed off 6.92 million shares, or 2.26% stake in the bank. The shares were sold at an average price of 746.40, valuing the transactions at 517 crore.

Among the buyers of the shares were Westbridge AIF I, Abu Dhabi Investment Authority, Reliance Mutual Fund and Morgan Stanley Asia Singapore PTE.

According to the latest shareholding pattern available on the stock exchange, Warburg Pincus held 6.84% in the bank.

Previously in August 2018, Warburg Pincus had sold 2.40 crore shares, or 8.27% stake in the bank at an average price of 638, valuing the transactions at 1,531.20 crore.

AU Small Finance Bank reported a 5.5% rise in net profit at 201 crore for the first quarter of 2020-21 financial year. The bank had reported a net profit of 190 crore in the April-June period of 2019-20. Total income increased by 21% to 1409.91 crore in the first quarter of 2020-21 compared to 1168.33 crore in the same period of last year, it said in a regulatory filing.

Gross NPA stood at 1.69% as on 30 June 2020 against 2.08% by same period of 2019.

AU Small Finance Bank settled for the day on the BSE at 708.80, down 4.95% from the previous close.

The article was first published on livemint.com.

Singapore Reporter/s

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

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

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  • 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. 
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Singapore Reporter/s

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.