Latest news with #SubstantialAcquisitionofSharesandTakeovers
Mint
26-05-2025
- Business
- Mint
Nestle India share price edges higher as LIC raises stake in the packaged foods company
Shares of Nestle India gained over 2 percent in intra-day trade on Monday, May 26, following an announcement from Life Insurance Corporation of India (LIC) regarding an increase in its stake in the packaged foods major. The stake hike, which pushed LIC's shareholding above the regulatory threshold of 5 percent, sparked renewed investor interest in the stock. The development comes amid broader news around Nestle's global investment plans and a mixed set of quarterly earnings. In a regulatory filing submitted under SEBI's Substantial Acquisition of Shares and Takeovers (SAST) Regulations, LIC disclosed that it had acquired 1,49,000 additional shares of Nestle India through a market purchase on May 23, 2025. With this transaction, LIC's total holding rose to 4,82,24,710 shares, representing 5.001 percent of the company's equity capital. Before this acquisition, LIC held 4,80,75,710 shares or 4.986 percent of the company's total equity. The crossing of the 5 percent ownership threshold triggered the mandatory disclosure requirement. Nestle India's total share capital stood unchanged at ₹ 96.41 crore. Following the announcement, Nestle India's stock rose as much as 2.1 percent during the trading session to hit a day's high of ₹ 2,464.50. Despite the uptick, the stock remains about 11 percent below its 52-week high of ₹ 2,777, which was recorded in September 2024. It had touched its 52-week low of ₹ 2,115 in March 2025. The FMCG stock has seen a volatile run over the past few months. After shedding 5.3 percent in February 2025, it bounced back with gains of 6.6 percent in January, 2.8 percent in March, and 6 percent in April. So far in May, it has added another 2.6 percent, though it remains down about 2 percent on a one-year basis. In a related corporate development, Nestle SA—the parent company of Nestle India—announced a minority investment in Drools Pet Food Private Limited, marking its first such move in India. While financial specifics of the deal were not disclosed, the transaction follows a $60 million funding round by Drools in 2023, which included backing from LVMH-supported private equity firm L Catterton. Drools will remain operationally independent post-investment, as per a statement released by the company. Nestle SA's entry into the Indian pet care segment comes at a time when the sector is witnessing rapid growth and increasing investor attention. Last week, Nestle India reported a standalone net profit of ₹ 885 crore for the quarter ended March 2025, registering a 5.2 percent year-on-year decline. However, revenue from operations rose 4.5 percent to ₹ 5,504 crore. Both top-line and bottom-line figures slightly beat market expectations. The company's EBITDA stood at ₹ 1,389 crore, reflecting a 3.9 percent growth from the same quarter last year. The EBITDA margin came in at 25.2 percent, slightly lower by 20 basis points year-on-year but still ahead of the 24.4 percent estimated by analysts. Margin pressures were primarily attributed to high cocoa prices. To reward shareholders, Nestle India also declared a final dividend of ₹ 10 per share for FY25. Disclaimer: The views and recommendations made above are those of individual analysts or broking companies, and not of Mint. We advise investors to check with certified experts before making any investment decisions.
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Business Standard
05-05-2025
- Business
- Business Standard
Bain Capital seeks CCI nod to acquire stake in Manappuram Finance
Investment firm Bain Capital on Monday sought the approval of fair trade regulator CCI to acquire a significant stake in non-banking financial company Manappuram Finance through a multi-layered deal. According to the proposed deal, Bain Capital through its two affiliates -- BC Asia Investments XXV and BC Asia Investments XIV -- will acquire stakes in Manappuram Finance Ltd (MFL). The proposed transaction involves four phases, where BC Asia Investments XXV will subscribe to 9.29 crore fully paid-up equity shares of MFL through private placement and preferential allotment. Further, "subscription to 9,29,01,373 warrants of MFL by acquirer 2 (BC Asia Investments XIV), which can be exercised (in one or more tranches) at any point between 4 to 18 months from their date of allotment, each carrying a right to subscribe to 1 equity share of MFL", is also proposed, said a notice filed with CCI (Competition Commission of India). BC Asia Investments XXV and its persons acting in concert are also offering to purchase up to 24.42 crore fully paid-up equity shares through an open offer, representing 26 per cent of the expanded voting share capital from public shareholders of MFL, the notice said. Thereafter, the transaction is expected to trigger a mandatory open offer under the Sebi's SAST (Substantial Acquisition of Shares and Takeovers) rules. Additionally, the proposed transaction also includes the acquisition of Manappuram Asset Finance Ltd (MAFL) by Manappuram Finance. The proposed transaction is being notified under section 5(a) of the Competition Act, 2002, it added. MFL primarily provides gold loans, vehicle loans, and MSME loans. It has expanded its offerings such as housing finance and microfinance. MAFL is mainly engaged in providing gold loans. "There are no horizontal overlaps, vertical and/or complementary linkages between the business activities of acquirers and the targets (MFL and MAFL). "However, certain portfolio entities of Bain Capital... exhibit notional and ancillary horizontal overlaps with the business activities of the targets which would not raise any appreciable adverse effect on competition (AAEC) in India," the notice said. In March this year, Bain Capital had announced that it entered into definitive agreements to acquire joint control in MFL through its affiliates, BC Asia Investments XXV and BC Asia Investments XIV, in partnership with the existing promoters. As part of the agreement, Bain Capital will invest Rs 4,385 crore to acquire an 18 per cent stake of MFL on a fully diluted basis via preferential allotment of equity and warrants.
Time of India
22-04-2025
- Business
- Time of India
Ambuja cements completes acquisition of Orient Cement
NEW DELHI: Ambuja Cements , the cement and building material company of Adani Group , has completed the acquisition of a 46.66% equity stake in Orient Cement . The acquisition, comprising 9.59 crore equity shares, was executed through two separate share purchase agreements (SPAs) signed in October 2024. The first SPA covered the purchase of 7.76 crore shares, equivalent to 37.90% of Orient Cement's then share capital. The second agreement accounted for an additional 1.82 crore shares or 8.90%. The company has now formally completed these transactions. In conjunction with the acquisition, Ambuja Cements had earlier announced an open offer to acquire up to 5.34 crore shares, representing 26% of the expanded share capital of Orient Cement, at a price of ₹395.40 per share. The company confirmed that it will proceed with necessary regulatory actions under the SEBI (Substantial Acquisition of Shares and Takeovers) Regulations, 2011. Following a recent allotment of 3.49 lakh equity shares under Orient Cement's employee stock option scheme, the company's paid-up share capital rose to approximately ₹20.55 crore, comprising an equivalent number of shares of face value ₹1 each.
