FMCG firm Marico Ltd today said that it will sell a 4.56-per cent stake in itself to Indivest Pte Ltd and Baring India Private Equity, for Rs500 crore in order to fund acquisition of Paras Pharmaceuticals.
The company, which has already received board approval for the sale, will seek shareholders' nod for the same.
"The objective is to fulfill a substantial part of the funding requirements to complete the proposed acquisition of Paras Personal Care business by the company," the company said in a statement to shareholders.
The consideration payable for the proposed acquisition shall be funded by the company through an infusion of fresh equity and internal accruals, the statement added.
Marico's board last week approved to issue 2,20,58,823 shares to Indivest, and 73,52,941 shares to Baring India with the shares having a face value of Re1 each and at a premium of Rs169 per equity share aggregating upto Rs500 crore.
In February, Marico said that it would acquire Paras Pharmaceuticals from UK's Reckitt Benckiser for an undisclosed sum.