PE firms keen on stake in Indian Oiltanking: report
16 May 2011
Three private equity firms - TA Associates, New Silk Route Partners and IDFC - have evinced interest in jointly investing Rs400 crore for a 14-per cent stake in Indian Oiltanking, a provider of storage and terminal services to the oil and gas industry, according to a report.
Indian Oiltanking Infrastructure and Energy Services (IOT) is an equal joint venture between state-owned Indian Oil Corp and Germany's Oiltanking GmBH.
Citing unnamed sources, The Times of India said today that investment bankers have approached the private equity firms after IOT expressed interest in exploring alternatives to going public, a move which has been delayed due to choppy market conditions. IOT had proposed to raise Rs800 crore through the offer, but would now explore the PE route.
While IOT refused to comment, the report said the company's board of directors met on Thursday and decided to look at various fund raising options other than an initial public offering (IPO).
Boutique investment bank MAPE Advisory, working on behalf of Indian Oiltanking, has approached several funds in recent weeks in this regard, the report said.
