Piramal Enterprises stated that UBS was its sole financial advisor while Amarchand & Mangaldas & Suresh A Shroff & Co. acted as the sole legal advisors to it. Trilegal was the sole legal advisor to Shriram Capital. The deal follows last years purchase of a stake in Shriram Transport Finance Ltd., another affiliate of Shriram Group, Mumbai-based Piramal Enterprises said in a statement today.
Shriram Capital owns assets worth Rs 78,000 crore and has a network of 53,000 employees spread across 2,600 offices in India. Shriram Capitals operating units have more than 9 million customers, according to the release. Piramal's financial services business has a loan book of Rs 2,000 crore, lendng primarily to real estate and education segments.
Ajay Piramal, who sold his pharmaceuticals business to Abbott Laboratories for $3.8 billion in 2010, is seeking to expand beyond providing funding for infrastructure and property projects. Financial services was Piramal Enterprises fastest-growing business last year, a company presentation on its website shows.
The deal follows last years purchase of 9.9% stake in Shriram Transport Finance, another affiliate of Shriram Group, the statement said.
This month, Piramal Enterprises announced the sale of an 11% in its Indian mobile-phone unit to Vodafone Group Plcs local subsidiary for Rs 8,900 crore.