industry

US PE firm ‘saddened by the developments’, holds around 6.07% in Coffee Day Enterprises


MUMBAI: KKR has got a debt exposure of around Rs 255 crore to the Coffee Day group and personal holding entities of founder VG Siddhartha, in addition to the shares held by the buyout giant in the publicly traded Coffee Day Enterprises, multiple sources with knowledge of the situation told ET.

“KKR has loans outstanding, to the group, including interest, of approximately Rs 255 crore,” said a source close to KKR on condition of anonymity. This exposure, the source said, includes Rs 190 crore of principal and another Rs 65 crore of interest component, and the loan was to personal entities of Siddhartha —Coffee Day Consolidations and Tanglin.

Separately, KKR holds around 6.07% in the listed Coffee Day Enterprises, while Standard Chartered Private equity owns around 5.67% and New Silk Route owns 10.61%. KKR has been lending to the Bangalore-based group for the last 10 years, according to sources.

“KKR has been lending to Siddhartha and his personal entities for the past 10 years, and over Rs 2,000 crore has been given through various instruments, including bridge loans and working capital. Siddhartha consistently repaid the loans,” the source said.

Meanwhile, in an official response, KKR said it sold approximately 4.25% in Coffee Day Enterprises in February, 2018, on the stock exchange.

“We are deeply saddened by the developments and our thoughts are with his family at this time ,” KKR said in a statement.





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