Baring picks up under 10% in Bhushan Power
Baring Private Equity Asia has picked up a minority stake in the Delhi-based unlisted company- Bhushan Power and Steel (BPSL). The private equity player has invested $33 million (around Rs 150 crore) for little less than 10% stake in the company.
ET was the first to break this story on October 31, 2006. According to Sanjay Singal, chairman and MD, BSPL, funds received from Baring will be invested in the integrated steel complex, being set up in Orissa. Post commissioning, the company will become a 1.2 million tonne integrated steel company.
The company is likely to hit the capital market by 2007—end around the time when the work for the Orissa plant gets over. For Baring, this is the first investment from its $500 million Asia-dedicated fund, which it has raised recently. Speaking to ET, Jean Eric Salata, chairman and CEO, Barings Private Equity Asia, said, the fund will look investing around $200 million in India. “We are looking at mid-size companies,” said Mr Salata, adding that each transaction would not exceed $75 million.
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