Oman India Joint Investment Fund to invest $13M in Solar Industries
Summary
Oman India Joint Investment Fund, a private equity fund sponsored by Oman\xe2\x80\x99s sovereign wealth fund and India\xe2\x80\x99s largest lender State Bank of India, will pick up 4.28 per cent of the expanded capital of the public-listed Solar Industries.The investment firm will subscribe to 7,74,195 equity shares of Solar Industries at Rs 930 a unit, marginally higher than the closing price of Rs 927.65 a share on Monday. Solar Industries scrip has risen 40 per cent over the past seven months and hit a new high of Rs 955 a share on Tuesday before paring some of the gains. For the year ended March 31, 2012, the company had net sales of Rs 967.5 crore with net profit of Rs 101.2 crore.The promoters (the Nuwal family) held 74.9 per cent stake in the public-listed company as of June 30 and with the fresh issue, their holding will come down to a little less than 72 per cent. The Indian market of civil explosives is pegged at around 0.7 million tonnes worth Rs 2,750 crore, annually. Five years ago, it acquired Navbharat Coalfields Ltd, a privately held firm engaged in coal mining and washery projects.For Oman India Joint Investment Fund, this comes as a back-to-back transaction after it had arguably made a debut deal by picking up nearly 20 per cent stake for $9.8 million (approx.