The transaction has a lock-in period where Bain Capital will not sell any Genpact shares for a period of two and a half years
US based private equity firm Bain Capital has agreed to acquire 30% stake in business process management and technology services company Genpact for $1bn from General Atlantic and Oak Hill Capital Partners.
Under the transaction terms, South Asia Private Investments and other affiliates of Bain Capital will buy approximately 68 million Genpact common shares at $14.76 each.
As part of the transaction, Bain Capital will not to sell any Genpact shares for a period of two and a half years.
Upon closing of the transaction, Bain Capital will name four directors to Genpact’s board to replace the current GA and Oak Hill Capital directors.
The transaction is expected to close later this year which is subject to compliance to antitrust conditions, competition concerns and other closing conditions.
Following completion of the transaction, Bain Capital will name four directors to Genpact’s board to replace the current GA and Oak Hill Capital directors.
At the close of the deal, General Atlantic and Oak Hill will own 10% stake in Genpact and the companies had invested $500m in the company in 2005.
Genpact president and CEO NV ‘Tiger’ Tyagarajan said Bain Capital has a long-term perspective, which is critical to building value, particularly in the company.
"We look forward to working with Bain Capital as we continue to make enterprises around the world run better by continuously improving their business processes and run smarter through the innovative combination of technology, data analytics and process expertise, resulting in better business outcomes," Tyagarajan said.