Pivate equity major Blackstone has signed a deal to acquire Piramal Group’s Piramal Glass for around $1 billion, according to the reports in the media. The announcement of the deal is yet to be made by the company.
According to the reports, Blackstone will pay of $850 million upfront and approximately $150 million in payouts linked to milestones over 2 – 3 years.
This will be the second billion-dollar deal by Piramal Group this year. Earlier in the year, the group had sold US-based DRG for around a billion dollars. Piramal Enterprises Limited (PEL) in January had announced that PEL DRG Dutch HoldCo BV, a 100 per cent subsidiary of PEL and the holding company for Decision Resources Group (DRG), which is engaged in healthcare insights and analytics business, has signed a definitive agreement to sell DRG to US-based Clarivate Analytics for $950 million.
Piramal Enterprises is looking to sell some non-core businesses to boost capital. In June, the group agreed to sell a 20% stake in Piramal Pharma Ltd. to private equity firm Carlyle Group Inc. for $490 million, giving the business an enterprise value of $2.7 billion.
Piramal Glass makes container glass packaging with a capacity of 1,475 tons per day. It has factories in the USA, India, and Sri Lanka.
The group has raised Rs 18,000 crore funds since July 2019.
On Friday the shares of Piramal Enterprises closed 1.40 percent lower to 1433.80 on the BSE.