Pantaloon denies sale of financial services units
07 Dec 2011
Kishore Biyani's Pantaloon Retail (India) Ltd, today denied a newspaper report that said the company had sold its stake in Future Capital Holdings and Future Future Generali Life.
The Mumbai-based group informed the stock exchanges that it denies any such transaction "at this stage."
The denial came after The Economic Times today reported, citing people close to the development that the retail entrepreneur will sell his financial services units to Deccan Chronicle and Industrial Investment Trust (IITL), through two separate transactions worth over Rs1,000 crore.
The paper said that Hyderabad-based sports and media company Deccan Chronicle will buy a controlling is 54-per cent stake owned by Biyani's flagship firm Pantaloon in Future Capital Holdings in a deal estimated to be worth Rs600-Rs700 crore in cash.
In another transaction, the ET said that Mumbai-based IITL has acquired Pantaloon's 26-per cent stake in its insurance joint venture Future Generali Life, for Rs250-300 crore in cash.
The other joint venture partner in Future Generali Life is Generali Group of Italy.