Future Capital stake sale may be completed in 6 months

Our Bureau New Delhi | Updated on September 16, 2011 Published on September 16, 2011

Diversified company Future Group may complete the part-disinvestment of Future Capital Holdings Ltd in the next four to six months, said Mr Kishore Biyani, Chief Executive Officer, Future Group. Pantaloon Retail India Ltd holds 55 per cent stake in Future Capital.

“Talks are on and we may be able to consummate the transaction in the next four to six months,” said Mr Biyani, on the sidelines of the signing of a memorandum of understanding with Himachal Pradesh for direct market linkage.

The Group had reported a debt of Rs 4,200 crore as on June 30 this year.

Denying reports that the decision of stake sale had anything to do with reducing that debt amount, Mr Biyani said that the Group was looking at divestment as a leverage to expand more.

“We have several businesses including insurance, e-commerce, media and textiles. We can exit in any of them to reduce the debt to zero. But at present the 1:1.2 ratio of debt to equity is pretty comfortable,” he said.

Published on September 16, 2011
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