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Bourbon Offshore expands business foothold

21 Jan 2015, 10:12 am

New Delhi, Jan 21 (NITN): Bourbon Offshore Ltd., a leading French offshore major, has expanded the business foothold with two strategic partnerships.

The company has bought a 20.5 pc stake from Garware companies, which mainly consist of Garware Marine having 6.5 pc stake.

The company has also entered into a share purchase agreement with India Star Ltd., a US based PE having 29.6 pc stake in Global Offshore Ltd. The deal is sensed to be finalized at around Rs 270 Cr. to Garware Marine, for its 6.5 stake in Global Offshore Ltd..

The source further added that Ravi Pratap Singh, CEO of India Star was in France in the first week of JAN to give the final shape to the transaction.

"The legal advisors from London and investment bankers M/s Clarksons were not available for comments but according to the source close to the transaction said that the deal is happening at 700 mn USD. In Rupee term, the open offer could come at Rs 1420 per share. The source further added that initially the deal was supposed to be finalized in November but the deal got delayed due to the pending SEBI case against INDIA STAR, which got a clear chit in November. SEBI in their order clearly held that Mr. R P Singh is not liable for disclosures issues in the open offer made in 2008 at Rs 230 per share. Even the merchant banker HSBC was just reprimanded without any cause of action," read an official statement.

December is the month of holiday in Europe and US, hence the ball started rolling early in January this year.

A source also says Bourbon has been advised to take FIBP approval first before signing SPA due to uncertainty regime of Indian regulators.

FIBP is likely to meet in last week of JAN and hence the deal will go through in February.

The share price of Global Offshore is trailing at life time high and closed at Rs 776 (market cap of Rs 18700 mn)

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