*CVCI, which held a 20.92% stake as of March 2010, has made 2.9 times the money on its five year old investment.*
Citigroup Venture Capital International (CVCI) has offloaded a 14.3% stake in polyester chips maker JBF Industries in an open market deal for Rs 120 crore. The private equity arm of Citigroup, which held a 20.92% stake as of March 2010, has exited nearly three quarters of its stake in the Mumbai-based firm. CVCI has made 2.9 times the money on its five year old investment. The share of JBF closed at Rs 136.1 on the exchanges today, down by nearly 4%. The shares were sold by CVCI at Rs 135.1 per share, the Bombay Stock Exchange data shows. The development comes after JBF agreed to buy out two-thirds of total convertible holdings of CVCI in the company's Singapore unit. JBF had entered into a memorandum of understanding with CVCI in July 2007 wherein the PE firm was slated to bring in $118 million in the Singapore arm through fully convertible securities. The entity was to use the funds to expand international business of the company by acquiring or investing in overseas projects. The two third stake in JBF Global Pte Ltd was acquired for approximately $60 million. Earlier, IL&FS Investment Managers had also exited its investment in JBF Industries. CVCI had invested in JBF Industries in June 2005 at Rs 46.5 per share through preferential allotment and warrants. It later increased its bet on the company by investing in the Singapore-based subsidiary of JBF. -- Regards Hardik Shah -- You received this message because you are subscribed to the Google Groups ""GLOBAL SPECULATORS"" group. To post to this group, send email to [email protected]. To unsubscribe from this group, send email to [email protected]. For more options, visit this group at http://groups.google.com/group/globalspeculators?hl=en.
