KKR India Buys 10 Percent Stake In CG Power
Picture for representational purpose only. (Photographer: James MacDonald/Bloomberg)

KKR India Buys 10 Percent Stake In CG Power

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Private equity giant KKR India on Monday picked up 10 percent stake in CG Power and Industrial Solutions Ltd. for over Rs 89 crore through open market transactions.

As per the latest bulk deal data on the National Stock Exchange, KKR India Debt Opportunities Fund II and KKR India Financial Services bought over 6.26 crore shares or 10.01 percent stake in CG Power. Shares of the Mumbai-based company rose 5 percent on Tuesday to hit an upper circuit of Rs 15.65 each.

The shares were bought at an average price of Rs 14.25 apiece, amounting to a total of Rs 89.31 crore.

The shares were sold by Vistra ITCL (India) Ltd.

According to the shareholding data for the June quarter 2019, Vistra ITCL is a public shareholder and held 21.63 percent stake in the company.

On the NSE, shares of CG Power and Industrial Solutions Monday touched its upper circuit to end at Rs 14.95 apiece, up 4.91 percent over the previous close.

CG Power and Industrial Solutions is among the leading players in the electrical equipment and engineering sector.

Also read: Gautam Thapar Removed As CG Power Chairman After ‘Suspect’ Dealings Surface

In March, CG Power said that creditors invoked 6.76 crore pledged equity shares, constituting 10.8 percent of the company's share capital, held by one of its promoters Avantha Holdings.

Vistra ITCL on behalf of debenture holders - BOI AXA Credit Risk Fund, KKR India Financial Services and KKR India Debt Opportunities Fund II - had invoked the shares.

Besides, in March, private sector lender Yes Bank Ltd. acquired 8 crore shares or 12.8 per cent stake in CG Power on invocation of pledged shares of its promoter.

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