New Delhi: India's largest retail chain Pantaloon Retail (India) Ltd, controlled by Kishore Biyani's Future Group, said the country's largest media house Bennett Coleman & Co Ltd has increased its holding in the company to 5.83% through a preferential purchase of equity shares.
Bennett Coleman has acquired 81,63,265 additional shares in the firm, taking its total shareholding to 5.83% representing 1,25,66,477 equity shares, Pantaloon said in a filing to the stock exchanges Friday.
Earlier this week, Pantaloon had said it mobilized Rs 2 billion from Bennett Coleman through issuance of shares of Rs 2 each at Rs 245 per share on a preferential basis.
The company had received its board approval from the same earlier last month.
It may be noted that the cash-crippled Future Group is in the process to sell stake in its non-core businesses to cut down debt.
Earlier this week, the company announced to divest at least 40% stake in the group's non-banking finance wing Future Capital Holdings Ltd to the US-based private equity (PE) Warburg Pincus LLC at Rs 162 per share for a total consideration of Rs 4.2 billion, followed by a mandatory open offer for 26% stake.
In April, Future Group announced to spin off its branded apparel business from Pantaloon Retail India Ltd (PRIL) into a separate entity, and sell a majority stake in the resultant company to Aditya Birla Nuvo for Rs 8 billion. The deal will help Pantaloon Retail cut its debt by Rs 16 billion.