TPG, 2 others sell 14.24 pc stake in Five-Star Business Fin for Rs 3,336 crore

New Delhi: TPG, Peak XV Partners and Norwest Venture Partners sold a 14.24 pc share in Five-Star Business Finance to investors including Goldman Sachs, Nomura, Morgan Stanley, IMF, and Fidelity for Rs 3,336 crore through open market deals. TPG Asia VII SF, Peak XV Partners Investments V, and Norwest Venture Partners sold more than 4.16 crore shares, equivalent to 14.24 pc of Five-Star Business Finance, through individual block deals on the BSE and NSE. According to information from the BSE and NSE, TPG offloaded over 2.71 crore shares on both exchanges in two installments, representing a 9.28 percent holding in NBFC Five-Star Business Finance.

In addition, Norwest Venture Partners X Mauritius sold 80.46 lakh shares, representing a 2.75 pc ownership in Chennai's Five-Star Business Finance, on the BSE. Peak XV Partners, a supporter of Five-Star Business Finance, also sold 64.93 lakh shares, equivalent to 2.22 percent ownership, in the NBFC firm on the NSE. The three entities sold the shares at an average price of Rs 800.50 each, resulting in a combined transaction value of Rs 3,335.91 crore, as reported by the BSE and NSE data. Following the most recent transaction, TPG sold a 9.28 percent stake in Five-Star Business Finance, leading to their exit from the firm. Additionally, Peak XV Partners saw their ownership decrease from 6.25 percent to 4.03 percent. By the end of the June quarter, Peak XV Partners Growth Investment II and Sequoia Capital Global Growth Fund III-Endurance owned 3.77 pc and 3.47 pc of Five-Star Business respectively.              

At the same time, Invesco Mutual Fund (MF), HDFC MF, SBI Life Insurance, Max New York Life Insurance, Societe Generale, Prudential Plc, Morgan Stanley and Danske Capital, a financial services firm based in Copenhagen, bought shares of Five-Star Business on the BSE.

Alternatively, the Saudi Arabian Monetary Authority, IMF, World Bank, Fidelity, Nord Est Asset Management SA, TT International Asset Management, Helaba, and Aware Super from Sydney invested in Five-Star Business on the NSE. Goldman Sachs purchased more than Rs 45 crore worth of Five-Star Business Finance shares totaling 5.52 lakh on the BSE last Wednesday. Five-Star Business Finance's shares declined 1.47 pc to Rs 796.10 on the NSE, while the company's scrip dropped 1.39 pc to Rs 797.20 on the BSE.