KOLKATA, APRIL 8, 2021
Srei Equipment Finance on Thursday said that it has received expression of interest (EOI) of up to USD 250 million capital infusion from two international private equity (PE) investors.
The PE funds are US-based Arena Investors LP, and Singapore’s Makara Capital Partners, the wholly-owned subsidiary of Srei Infrastructure Finance (Srei) said in a statement.
The company’s Strategic Coordination Committee (SCC), chaired by its Independent Director Malay Mukherjee, will coordinate, negotiate and conclude discussions with the PE investors to bring the capital into the business and advise the management, it added.
The SCC will engage in discussions with the potential investors to raise fresh capital for the business, which will provide cushion against the pandemic induced stress in the Indian financial services space. The SCC will also be the nodal point for a comprehensive cash flow realignment plan with banks and financial institutions and for all external service providers, including investment bankers, lawyers and consultants, the company said.
Ernst & Young (EY) will be advising the committee on the proposed fundraising exercise.
Arena Investors LP is a multi-strategy investment firm with USD 2.2 billion of committed capital. Makara Capital Partners is a global financial services company under the regulatory purview of the Monetary Authority of Singapore (MAS).
Srei Equipment Finance (SEFL) provides financing for construction and mining equipment.