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Srei Infra completes share swap deal with BNP Paribas

Vice-chairman of Srei Infrastructure Sunil Kanoria said the share swap was completed on Friday

Press Trust of India  |  Kolkata 

Srei Infra completes share swap deal with BNP Paribas

Financing firm Srei Infrastructure Finance has completed the share swap deal with BNP Paribas, thus making Srei Equipment a wholly-owned subsidiary of itself.

Vice-chairman of Srei Infrastructure Sunil Kanoria said the share swap was completed on Friday which was announced in December.

"In December, we had announced that Srei Infrastructure will buy out 50% stake in Srei Equipment from BNP Paribas and the latter would get 5% in Srei Infrastructure", he told reporters on Friday.

Stating that it was a pure share-swap deal, Kanoria said after the transfer, Srei Infrastructure would be able to consolidate 100% of Srei Equipment's profits into the parent company.

In last financial year, Srei Equipment's net profit stood at Rs 115 crore.

Kanoria said this deal will have positive impact on Srei Infrastructure's balance sheet and capital would remain a constraint.

On outlook of equipment financing industry, he said since the last three or four months, there had been a strong growth which was expected to continue for some time in future.

He said Srei would now continue to focus on infrastructure and equipment financing businesses.

First Published: Fri, June 17 2016. 15:57 IST
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