Warburg Pincus Exits Kalyan Jewellers with Final Stake Sale

Warburg Pincus has sold its remaining stake in Kalyan Jewellers, exiting the jewellery company completely. The firm sold a 6.81% stake through block deals and will sell the remaining 2.36% to the company's promoter Ts Kalyanaraman for Rs 1,300 crore. This increases the promoter group's share to 62.95%.

Global investment firm Warburg Pincus has sold a 6.81 per cent stake in Kalyan Jewellers through block deals on stock exchanges and will sell the remaining 2.36 per cent stake to the company's promoter and MD TS Kalyanaraman for Rs 1,300 crore.

Warburg Pincus, which initially held a 9.17 per cent stake in Kalyan Jewellers, will completely exit from the company once the sale of the remaining 2.36 per cent is finalized. The transaction will significantly boost the promoter group's shareholding in the company from 60.59 per cent to 62.95 per cent.

The share purchase agreement, executed on Wednesday, will see TS Kalyanaraman, the promoter of Kalyan Jewellers, acquiring the remaining shares at Rs 535 per share. The acquisition is expected to close within the next four weeks, following financing arrangements. This off-market deal marks the final step in Warburg Pincus' strategic divestment process, ending its role in Kalyan Jewellers, which began in 2014.

(With inputs from agencies.)