American private equity giants TPG Capital and KKR & Co. Inc. have emerged as the front runners to invest ₹3,500-4,000 crore for acquiring a 20% stake in Piramal Group’s proposed pharmaceutical entity that would combine the group’s pharma businesses.
TPG’s bid is more than that of KKR, said two people familiar with the development, requesting anonymity. The deal, once completed, may value the Piramal Group’s overall pharma business at $2.5 billion. “Discussions with the potential investors happened a couple of weeks back.
The stake sale is part of the group’s larger plan to demerge all pharma businesses, bring them under a single subsidiary and, eventually, list it on the exchanges.