With $16 bn more, Blackstone is already thinking bigger

Mumbai: With private equity deals growing rapidly in India, global PE firms are scouting for new investment opportunities and many others are selling their holdings as valuations improve.

Adding to this list is US-based private equity firm Blackstone Group, which will invest Rs 150 crore ($34 million) in Financial Information and Network Operations,or FINO, a Mumbai-based technology solutions provider for banks, microfinance institutions and insurance companies.

Blackstone is likely to pick up 26 percent stake in the company, says a Mint report, citing an unnamed source.

[caption id=“attachment_38047” align=“alignleft” width=“380” caption=“Existing investors in FINO include HSBC, ICICI Bank and Intel Capital. Reuters”] [/caption]

Fino’s product line includes savings account, government disbursements, loans, recurring accounts etc. Existing investors in FINO include HSBC, ICICI Bank and Intel Capital, according to the company website.

Private equity firms typically raise capital from investors and over the years spend that capital by buying companies with the aim of floating these assets for profit. India saw 61 private equity buyouts worth $3.3 billion in the first half of 2011, up 21.6 percent from the same period last year.

Blackstone firm’s latest buyout fund, which is already valued at $16 billion, could grow bigger, ultimately reaching $16.5 billion, making it one of the largest buyout funds in history.

Agencies