Goldman Sachs to invest $163 mln for minority stake in M&M

Analysis

American fund house major Goldman Sachs will take a minority stake in the homegrown auto major Mahindra & Mahindra by investing 700 crore rupees ($163 million) through its Cybrentity Goldboot Holdings based in Cyprus.

The Board of Mahindra & Mahindra has given a go-ahead to the proposal under which Goldman Sachs controlled entity would invest about 700 crore rupees by subscribing unsecured and compulsorily convertible debentures. The foreign firm will get 3.68% stake in the M&M by converting its debentures into equal number of equity shares over a period of 18 months. The investment by Goldboot has been approved by the Foreign Investment Promotion Board.

Goldboot has proposed to get 93.95 lakh unsecured fully and compulsorily convertible debentures (FCDs) of face value of rupees 745 each aggregating rupees 700 crore from M&M, which could be later converted into shares. M&M submitted information to BSE in this regard last week. (The Economic Times)

ADVERTISEMENT

Credit card fraud causes HUF 322 mln of damages in Q2 Figures

Credit card fraud causes HUF 322 mln of damages in Q2

Opposition parties to begin PM candidate primaries Elections

Opposition parties to begin PM candidate primaries

New editor-in-chief at Betone Studio Appointments

New editor-in-chief at Betone Studio

BFK developing regional cycling strategy City

BFK developing regional cycling strategy

SUPPORT THE BUDAPEST BUSINESS JOURNAL

Producing journalism that is worthy of the name is a costly business. For 27 years, the publishers, editors and reporters of the Budapest Business Journal have striven to bring you business news that works, information that you can trust, that is factual, accurate and presented without fear or favor.
Newspaper organizations across the globe have struggled to find a business model that allows them to continue to excel, without compromising their ability to perform. Most recently, some have experimented with the idea of involving their most important stakeholders, their readers.
We would like to offer that same opportunity to our readers. We would like to invite you to help us deliver the quality business journalism you require. Hit our Support the BBJ button and you can choose the how much and how often you send us your contributions.