Cox and Kings has rallied 5% to Rs 129 on reports that the company is in talks with some private equity (PE) funds to sell a minority stake in its UK subsidiary.
“The travel and tour operator is in talks with PE funds like KKR, Bain Capital, Carlyle and TPG to sell a minority stake in its UK subsidiary and raise about $140 million (approx Rs 780 crore),” reports suggest.
The money will be used to repay debt raised during Cox & Kings' Rs 2,250-crore acquisition of Holidaybreak Plc, the step-down subsidiary of Cox's UK holding company, Prometheon Holdings, added the report.
The stock opened at Rs 123 and hit a high of Rs 131 on the National Stock Exchange. A combined 572,436 shares have already changed hands on the counter in morning trades, as against an average sub 500,000 shares that were traded daily in past two weeks.