Singapore-based Arisaig Partners has acquired 3.5 per cent stake in BSE-listed Westlife Development Ltd (WDL) for Rs 180 crore. Its subsidiary firm Hardcastle Restaurants is a master franchisee for west and south India operations of McDonald’s Restaurants. The deal values Westlife Development at a little over Rs 5,000 crore.
The funds raised will be utilised by Westlife Development to open 100 stores in the next two years.
The WDL board has approved preferential allotment of 54.04 lakh shares to Arisaig India Fund at Rs 333.05 a share.
The preferential allotment to Arisaig will have a lock-in period of one year from the date of allotment.
Earlier, the Bombay High Court has approved WDL’s scheme of arrangement for consolidation of its subsidiaries, said WDL. The approval paves the way for the expansion of equity base to 15 crore shares, the company said in a statement.
Pact arrangement
The scheme of arrangement involves the consolidation of BL Jatia group companies, Hardcastle Restaurants Private Ltd, through its majority shareholder, Triple A Foods, and Westpoint Leisureparks, a majority shareholder of Triple A Foods, under Westlife Development Ltd. The BL Jatia family holds majority ownership in these companies.