IDFC Private Equity is selling a portion of its stake in Star AgriWarehousing & Collateral Management, part-exiting an investment it made four years ago in one of the country’s fastest growing agriculture-solutions company, to Singapore government’s investment company Temasek Holdings for Rs 75 crore. Temasek is already an existing investor in StarAgri, having put Rs 100 crore in the company in 2014 with a commitment of additional investments. “The recent transaction is largely a secondary transaction providing part-exit to IDFC and small amount of capital coming into the company as primary equity from Temasek,” said Amith Agarwal, executive director at StarAgri, confirming the deal. “This tranche of transaction was already a part of our 2014 deal with Temasek,” he said. With this monetization exercise, IDFC PE will make twofold return on the stake sold. In 2012, it had put in Rs 150 crore for a 37 per cent stake at a pre-money valuation of Rs 250 crore. Following this latest round, Temasek and IDFC PE together will own 47 per cent of the company with the residual stake with the founders. Along with buying the stake from IDFC PE, Temasek will also be infusing Rs 25 crore into StarAgri as fresh equity. Started by four former franchisees of rural lending products from Rajasthan in 2006 with deep family roots in commodity trading, StarAgri has emerged as one of the country’s largest post-harvest agri-solutions provider, offering modern and mechanized equipment and services such as farm procurement, logistics services, warehouses, labs and collateral finance. Read more at: http://economictimes.indiatimes.com/articleshow/51029724.cms?utm_source=contentofinterest&utm_medium=text&utm_campaign=cppst
Source: Economic TimesIDFC PE part-exits Star AgriWarehousing & Collateral Management with 2X returns.
Industry: Logistics 2016-02-18
