Standard Chartered PE buys 10% stake in Redington
04 Jul 2011
The private equity arm of Standard Chartered has bought a 12-per cent stake in Redington India Ltd, held by a promoter and a strategic investor, for about $98 million.
The 12 per cent stake in Redington India, an IT and technology logistics provider, was sold on Monday in four block trades at Rs 91.9 a share.
"We would like Redington to be a purely management run company. It has been the management's wish that none of the shareholders should hold more than 26 per cent stake. We have been talking to the two shareholders over the past that they should bring it down to 26 per cent and looks like they took our advice and brought it down to below 26 per cent,'' R Srinivasan, managing director of Chennai-based Redington, told a television channel.
Synnex Mauritius, a unit of Synnex Technology International Corp, owned a 27.71-per cent stake in the company as of 12 April while Redington Mauritius Ltd. held 28.8 per cent.
''The Kewalram Chanrai Group's stake would have come down to about 23 percent and Synnex Taiwan would also be at a similar level,'' said.
Srinivasan also said that the company considering a $50-million acquisition in the Middle East or Africa. Last year, Redington India bought a 49.4-per cent stake in Turkey's Arena Bilgisayar Sanayi & Ticaret AS for $42.5 million.
''Going forward we will expand our geographies and our product portfolio,'' said Srinivasan.
