Piramal Enterprises Raises Rs 17.50 billion from CDPQ
Cement

Piramal Enterprises Raises Rs 17.50 billion from CDPQ

Piramal Enterprises recently announced the completion of the Rs 17.50 billion fund raise through preferential allotment of Compulsory Convertible Debentures (CCDs) to Canadian institutional investor, Caisse de dépôt et placement du Québec (CDPQ).

The compulsory conversion of CCDs into equity shares will take place within 18 months from date of allotment.

CDPQ, a long-standing existing investor with PEL, had also participated as the anchor investor during PEL’s previous capital issuance, investing $175 million out of the total issue size of $750 million. In addition, CDPQ’s real estate subsidiary, Ivanhoé Cambridge, has committed $250 million towards a co-investment platform with PEL to provide long-term equity to blue-chip residential developers. The repeated and robust partnership across platforms and entities is a testimony to CDPQ’s long-term partnership approach and its confidence in PEL’s business model.

Ajay Piramal, Chairman, Piramal Enterprises said, “CDPQ, the marquee global investor’s long-standing partnership with Piramal Group, and its further investment in the Company reaffirms the strength of our business model and long-term growth potential. This infusion of funds will strengthen our balance sheet and also enable us to tap both organic and inorganic growth opportunities that continue to emerge in the current market dynamics across the sectors and the markets that we operate in.”

PEL has set the record date of December 31, 2019, for the Rights Issue. This issuance of Rs 36.50 billion gives an opportunity to existing shareholders to participate in the capital raise at an attractive price of Rs 1,300 per share. The Promoters are committed to the success of the Rights Issue and are underwriting 90 per cent of the issuance.

CDPQ is a large, long-term Canadian institutional investor managing over CA $325 billion, primarily public pension and insurance plans. CDPQ invests globally in major financial markets, private equity, infrastructure, real estate and private debt.

Piramal Enterprises recently announced the completion of the Rs 17.50 billion fund raise through preferential allotment of Compulsory Convertible Debentures (CCDs) to Canadian institutional investor, Caisse de dépôt et placement du Québec (CDPQ).The compulsory conversion of CCDs into equity shares will take place within 18 months from date of allotment.CDPQ, a long-standing existing investor with PEL, had also participated as the anchor investor during PEL’s previous capital issuance, investing $175 million out of the total issue size of $750 million. In addition, CDPQ’s real estate subsidiary, Ivanhoé Cambridge, has committed $250 million towards a co-investment platform with PEL to provide long-term equity to blue-chip residential developers. The repeated and robust partnership across platforms and entities is a testimony to CDPQ’s long-term partnership approach and its confidence in PEL’s business model.Ajay Piramal, Chairman, Piramal Enterprises said, “CDPQ, the marquee global investor’s long-standing partnership with Piramal Group, and its further investment in the Company reaffirms the strength of our business model and long-term growth potential. This infusion of funds will strengthen our balance sheet and also enable us to tap both organic and inorganic growth opportunities that continue to emerge in the current market dynamics across the sectors and the markets that we operate in.”PEL has set the record date of December 31, 2019, for the Rights Issue. This issuance of Rs 36.50 billion gives an opportunity to existing shareholders to participate in the capital raise at an attractive price of Rs 1,300 per share. The Promoters are committed to the success of the Rights Issue and are underwriting 90 per cent of the issuance.CDPQ is a large, long-term Canadian institutional investor managing over CA $325 billion, primarily public pension and insurance plans. CDPQ invests globally in major financial markets, private equity, infrastructure, real estate and private debt.

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