Global private equity major Bain Capital is partly selling its holding in country's largest two-wheeler maker Hero MotoCorp.
BMOP (Brij Mohan Lall Om Prakash), the investment arm of the Brijmohan Lal-led Hero Group, said in a statement: "Bain Capital has been an investor in Hero MotoCorp for over three and half years now. Typically financial investors like Bain Capital have a 3-5 year investment horizon and Bain has decided to partially monetise their investment now."
Details of the quantum of stake to be sold by Bain Capital and its timing were not mentioned.
Bain Capital owns 8.58 per cent stake, or 1.71 crore shares, in Hero MotoCorp. At today's closing price, the PE major's holding is worth Rs 4,642 crore.
Shares of Hero MotoCorp, which closed marginally up at Rs 2,708.55 apiece on the BSE, is trading near its 52-week high level of Rs 2,775.05.
"As promoters of Hero MotoCorp, we are very confident that this monetization will help bring in a wider set of high quality long term investors to participate in the Hero story. In the long run, this will further diversify and strengthen Hero's investor base and bring even more stability," BMOP added.
Paul Edgerley, a Managing Director at Bain Capital, was appointed as an additional director on Hero MotoCorp's board on May 4, 2011.
Bain Capital has over USD 75 billion in assets under management.
