shriram finance block deal: Apax Partners likely to sell its entire stake in Shriram Fin via block deal

Dynasty Acquisition (FPI), a company linked to Apax Partners, is expected to sell up to 173 lakh shares, representing 4.63% stake in the company. The deal, valued at around Rs 2,200 crore, is expected to take place at a 6% discount on Thursday’s closing price of Rs 1,312.65. Kotak Institutional Equities has been appointed as the broker for the deal.

Apax Partners did not respond to ET’s queries, while Kotak declined to comment.

In 2015, Apax Partners made a big-ticket investment in the Indian financial services sector by picking up a 20% stake in Shriram City Union Finance (SCUF), the retail lending arm of Shriram Group. TPG sold the shares to Apax by making a bumper exit with returns of close to 4.5 times.

With the merger of Shriram City and

, Dynasty Acquisition got a 4.63% stake in the merged entity Shriram Finance.

Shriram Finance shares, which rallied 8% in the last three months, declined 1.6% on Friday to close at Rs 1,312.65.