Piramal Enterprises to buy 20 per cent stake in Shriram Capital for $334 mn

Piramal Enterprises has agreed to buy a 20 per cent stake in unlisted Shriram Capital for Rs 20.14 billion ($334 million), increasing its foothold in the financial services sector.

Shriram Capital is the holding company for the Chennai-based Shriram group, which controls Shriram Transport Finance Co and Shriram City Union Finance.

US-private equity firm TPG Capital holds a minority stake in Shriram Capital. Piramal last year bought a 9.9 per cent stake in Shriram Transport.

Earlier this month, Piramal agreed to sell its 11 per cent stake in the Indian unit of Vodafone Group Plc to the British group for $1.48 billion.

(Reuters)