Cyril Amarchand Mangaldas (CAM) advised Aditya Birla Capital Limited (ABCL) on raising an aggregate amount of INR 2100 crore from its Promoter, Promoter Entities and private equity investors, including affiliates of Advent International and Premji Invest.
The General Corporate, Capital Markets and Competition Law Teams of Cyril Amarchand Mangaldas advised ABCL, its promoter company, Grasim Industries Limited (Promoter), and certain members of promoter group (Promoter Group Entities).
The CAM team assisted ABCL on various issues, including: (i) advising on various matters including Securities Law, FDI laws, Competition laws, (ii) drafting, negotiating and entering into definitive subscription agreements with the affiliate companies of Advent International and Premji Invest; (ii) drafting and finalizing the corporate authorizations and form filings for the Preferential Allotment.
The Transaction team was led by Cyril Shroff, Managing Partner; Yash Ashar, Partner; Gautam Gandotra, Partner; Avaantika Kakkar, Partner; with support from Neha Samant, Principal Associate; Dhruv Rajain, Principal Associate; Parth Desai, Associate; and Surbhi Purohit, Associate.
As part of the Transaction, ABCL issued equity shares of face value of INR 10 each (Equity Shares) to the Promoter, Promoter Group entities and other investors for an aggregate amount of INR 2100 crores.
The Transaction involved raising INR 1000 crore from Jomei Investments Limited (an affiliate of Advent International) (Investor -1); INR 100 crore from PI Opportunities Fund (an affiliate of Premji Invest) (Investor -2); and another INR 1000 crore from its Promoter and Promoter Group Entities. Further, ABCL entered into a definitive subscription agreements with the Jomei Investments and PI Opportunities Fund.
Post the approval from shareholders of ABCL and receipt of regulatory approvals, the Investor-1 will hold 4.15% of total issued and paid-up capital of ABCL on a post issue basis, and Investor-2, an existing shareholder of ABCL, hold 4.11% total issued and paid-up capital of ABCL on a post issue basis.
The Deal was signed on September 5, 2019.
