Blackstone Close To Acquiring Piramal Glass

Private equity major Blackstone is putting final touches to the acquisition of Piramal Group’s Piramal Glass with an announcement likely next week. Deal size is likely to be around $950 million which will include an upfront payment of $800 million, rest may be stagger

BY Realty Plus
Published - Saturday, 05 Dec, 2020

Blackstone Close To Acquiring Piramal Glass

Private equity major Blackstone is putting final touches to the acquisition of Piramal Group’s Piramal Glass with an announcement likely next week. Deal size is likely to be around $950 million which will include an upfront payment of $800 million, rest may be staggered. Deal contours have two components, an upfront pay and earn-out companions, sources point out. Piramal Group is likely to get an upfront payment of close to $800 million for the sale of Piramal Glass. Deal construct to include approx $150 million earn out component, to be paid over 2 years based on achieving certain milestones. Sale of Piramal Glass is part of Piramal Group’s strategy to raise funds Through various sources. Group has raised Rs 18,000 cr funds since July 2019. Capital raising exercise includes minority stake sale in pharma business to Carlyle, sale of DRG for $950 million, sale of Shriram Transport shares, rights issue, investment from Canadian fund, CDPQ. Blackstone has a market value of $40 bn of assets in India making it a Top 10 business group in India. Blackstone has invested over $15 bn across Private Equity ($6.9 bn), Real Estate ($7.8 bn) and Tactical Opportunities ($400 mm). In 2019-20, Blackstone in India invested $6 bn across Private Equity ($2.5 bn), Real Estate ($3.2 bn) and Tactical Opportunities ($300 mm). Blackstone’s recent transactions include a partial exit from Essel Propack.