GIC, ADIA buy Sona stake from Blackstone

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Mumbai: Singapore’s sovereign wealth fund GIC, Abu Dhabi Investment Authority (ADIA), and a clutch of other investors purchased shares of Sona BLW Precision Holding (Sona Comstar), as private equity Blackstone Inc. sold its 20.5% stake in the auto components firm.

Mumbai: Singapore’s sovereign wealth fund GIC, Abu Dhabi Investment Authority (ADIA), and a clutch of other investors purchased shares of Sona BLW Precision Holding (Sona Comstar), as private equity Blackstone Inc. sold its 20.5% stake in the auto components firm.

GIC acquired shares worth about 993 crore ($120 million), according to data from the BSE. Monetary Authority of Singapore purchased shares worth 237 crore.

GIC acquired shares worth about 993 crore ($120 million), according to data from the BSE. Monetary Authority of Singapore purchased shares worth 237 crore.

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Blackstone sold around 120 million shares for 410 apiece, or about 4,917 crore ($600 million) on Monday in a block trade. Investors also included HDFC Mutual Fund, Societe Generale, BNP Paribas and the affiliates of Fidelity. ADIA may have picked up shares worth $150 million, a person in the know said, but the exchanges were not informed about it.

The trade was arranged by JM Financial. Shares were sold at a discount to Friday’s stock price of 436.9 apiece. Sona BLW shares ended the day at 409.85 apiece, down 6.06%. The deal is one of Blackstone’s most profitable exits in India.

Sona Comstar’s strategy is well set with a strong order book and business development plans. It is well-placed to play an important role in the global transition to green and safer mobility, said Amit Dixit, head of Blackstone PE in Asia.

Sunjay Kapur, non-executive chairman of Sona Comstar said Blackstone had supported strategic acquisitions and R&D investments, and enabled it to go public last year with their capital markets expertise.

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