Monday, June 21

Future Consumer may Raise Rs 350cr from investors & promoter group

MUMBAI: Future Consumer Limited said it plans to raise Rs 350 crore from existing investors International Finance Corporation (IFC), Verlinvest SA and its promoter group, which will infuse Rs 70 crore, to fund expansion plans.

IFC, a member of the World Bank Group, will invest Rs 210 crore while Verlinvest, an investment company of Belgium-based founding families of Anheuser-Busch InBev, will invest Rs 70 crore through preferential allotment of compulsory convertible debentures (CCD), the Kishore Biyani-owned company said in a stock exchange filing on Sunday.

IFC holds about 3% stake and Verlinvest has 7% stake in Future Consumer.

“The primary purpose of the fundraising is to fund various expansion plans and business initiatives of the company and improvement of costs and maturity profile of existing debt, thereby further strengthening the balance sheet of FCL,” the company said.

CCDs are convertible into equity shares of the company within 18 months from the date of allotment, at a conversion price Rs 45.02 per equity share.

The board also approved the acquisition of personal care portfolio of Ahmedabad-based cosmeceutical and therapeutic beauty treatment company Athena Life Sciences through share swap on a net worth of Rs 98 crore.

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