Aditya Birla Minacs Worldwide Limited (“ABMWL” or the “Issuer”) is pleased to announce issuance of its Rs. 250 crores Compulsorily Convertible Debentures (“CCDs”) through private placement. CCDs are zero coupon debentures and would be mandatorily converted into equity of the Issuer at the end of 5 years. The issuance would strengthen the balance sheet of ABMWL and the funds would be utilized for business expansion.
Aditya Birla Nuvo Limited (“ABNL”), the 88.28% shareholder of the Issuer, has provided an option to the CCD investors to sell the CCDs to ABNL at the end of two years and annually thereafter up to five years. Similarly, ABNL has an option to purchase the CCDs at the end of two years and annually thereafter up to five years.
The CCDs and the option arrangement mentioned are currently held by Novo VIII Trust – Archie (“Trust”). The Trust has issued Pass Through Certificates (“PTCs”) to various investors.
Barclays Capital (“Barclays”) acted as the Mandated Lead Arranger.
“This innovatively structured fund infusion reflects the confidence & commitment of the Aditya Birla Nuvo in BPO business with an objective to take it to the next level. Aditya Birla Minacs is progressing well on its designed strategic roadmap and has built a healthy order book in recent past with focus on non voice segment. This transaction will support Aditya Birla Minacs in pursuing growth opportunities,” said Sushil Agarwal, CFO, Aditya Birla Nuvo.
Commenting on the capital raised and Minacs’ growth strategy, Deepak Patel, CEO, Aditya Birla Minacs added, “Minacs’ vision is to become a global business solutions company. Our strategy to achieve growth is three-fold: firstly, grow organically by leveraging our existing customers and capabilities; second, leverage our Group companies to build new capabilities. And lastly, we will acquire the right assets that drive the enhancement of our solutions portfolio and demonstrate our capabilities. The focus of this strategy is to grow our wallet share with existing clients and also to win new clients by working in their core processes. Our new capital infusion will enable this growth strategy.”
"This issuance reaffirms our commitment to the Aditya Birla Group as one of India’s most respected corporate houses. The success of such a structured bond transaction reinforces our view on the rapidly maturing domestic bond market,” said Jaideep Khanna, Managing Director, Investment Banking Division, Barclays Capital.
About Aditya Birla Nuvo Ltd.
Aditya Birla Nuvo Ltd. is a conglomerate and a platform that has launched many new age businesses for the Aditya Birla Group. Over the years, it has built successful ventures into sunrise sectors viz., Financial Services (Life Insurance, Asset Management, NBFC, Retail Broking etc), Telecom, Business Process Outsourcing and Garments. Its focus on ‘value’ businesses has made it a leading player in Carbon Black, Fertilisers, Rayon, Insulators and Textiles.
Aditya Birla Nuvo is a part of the Aditya Birla Group, India’s first truly multinational group. The group operates in 25 countries, is anchored by an extraordinary force of over 130,000 employees belonging to 30 nationalities and derives over half of revenues from operations outside India.
About Aditya Birla Minacs Worldwide Ltd
Aditya Birla Minacs is a pioneering business solutions company that partners with global corporations in the BFSI (banking, financial services and insurance), TIME (telecom, infrastructure, media, and entertainment) and manufacturing industries. We leverage years of process, domain and technology expertise to deliver superior business value to clients with our seamless CRM/ contact center, Knowledge Process Outsourcing, Marketing Solutions, Finance and Accounting, and IT solutions and services. 13,000 Minacs experts across 3 continents and 27 centers spanning Canada, Germany, Hungary, India, Philippines, the UK and USA power our solutions through a global delivery model that helps our clients enhance revenues, profitability and customer service. Visit http://www.minacs.adityabirla.com for more information.
