You are here: Home » Companies » News
Business Standard

We believe in VG Siddhartha, still own 6% in CCD: Global buyout major KKR

KKR in a statement on Tuesday said it had invested in the popular coffee chain nine years ago and part-exited the investment last year

Press Trust of India  |  Mumbai 

V G Siddhartha
V G Siddhartha

Global buyout major has said it is "deeply saddened" by the disappearance of VG Siddharth, the promoter of its investee company the coffee chain since Monday evening.

In a purported letter sent to the company board and the employees of the coffee chain he founded, Siddharth had on July 27 said he was under pressure from one of the private equity partners to buy back shares.

in a statement on Tuesday said it had invested in the popular coffee chain nine years ago and part-exited the investment last year.

The fund statement added that it continues to hold about 6 per cent in the company now down from 10.3 per cent earlier.

"We are deeply saddened by the developments and our thoughts are with his family at this time. We believe in VG Siddhartha and had invested in the company about nine years ago," said in a statement.

It can be noted that generally, private equity funds have a shorter investment horizon of say one to seven years wherein they help an invested company grow and exit.

The 57-year-old Siddhartha, the son-in-law of former Union minister SM Krishna, has also blamed pressure from lenders and the tax department in the letter and has even named a director-level income tax officer in his apparent suicide note.

Meanwhile, mortgage major denied it has any exposure to any of the associated with Siddhartha.

"had disbursed lease rental discounting loans to Tanglin Developments (CCD) for its project Global Village Tech Park in Bangalore. The entire loan was repaid in January 2019 and has no exposure to the Coffee Day Enterprises group as on date," an spokesperson said.

First Published: Tue, July 30 2019. 16:06 IST
RECOMMENDED FOR YOU