PE major Advent International buys majority stake in Eureka Forbes

Signs deal with SP Group at Rs 4.4K-crore valuation

Private equity major Advent International on Sunday signed an agreement with Shapoorji Pallonji Group to acquire a majority stake in Eureka Forbes at an enterprise valuation of Rs 4,400 crore.

Eureka Forbes (EFL), a 100% subsidiary of Forbes & Company, would be demerged into a standalone company, and then listed at the stock exchanges. Upon listing of EFL, Advent would purchase up to 72.56 per cent of the company’s then outstanding stock on a fully diluted basis from SP Group. Advent would make an open offer, according to Sebi's takeover regulations. 

According to the Forbes & Company's annual report disclosures, EFL had