Warburg Pincus LLC, a US-based private equity firm
, is likely to pick up a majority stake in financial services firm Future Capital
Holdings for an estimated Rs 600 crore.
"The board of Future Capital will meet to decide on the valuation for divestment of the entire promoter stake of 56.30 per cent stake to Warburg Pincus," sources told PTI
Warburg Pincus would be offering somewhere between Rs 155-165 a share, valuing the stake at around Rs 600 crore, they added.
The price of Rs 165 a share is at a premium of 20 per cent over Friday's closing of Future Capital Holdings. The scrip had closed at Rs 138 on the Bombay Stock Exchange.
Currently, Pantaloon Retail is the promoter group
firm and holds 56.30 per cent stake in Future Capital Holdings. The remaining is with the public.
Pantaloon Retail is deleveraging its balance sheet by selling stake, sources said, adding that V Vaidyanathan will continue as the Chairman and Managing Director of the company.
For the fiscal ended March 31, 2012, Future Capital Holdings reported a net profit of Rs 105.8 crore, a jump of 115 per cent from Rs 49.1 crore in the year ago period.
Its asset base stands at Rs 4,700 crore.
The company, which provides consumer and mortgage loans, has improved its asset quality during the fiscal with the gross non-performing asset ratio dropping to 0.08 per cent from the year ago's 0.25 per cent.
Warburg Pincus manages assets worth about $40 billion globally and has also invested in Indian companies across sectors.