Infotech Lead India: Bain Capital Partners will pick up 30 percent stake in BPO major Genpact for $1 billion.
Affiliates of Bain Capital Partners will purchase approximately 68 million Genpact shares from entities affiliated with General Atlantic (GA) and Oak Hill Capital Partners for $14.76 per share, or approximately $1 billion.
“We are excited about this transaction, which is hugely positive for all of our shareholders. Bain Capital’s decision to invest in Genpact is a vote of confidence in the company and our business model, our differentiated service offerings, the value we deliver to our clients and the strength of the management team. Genpact will remain an independent public company, and I, along with our management team, will continue to pursue our strategic objectives,” said NV Tyagarajan, president and CEO of Genpact.
Genpact said Bain Capital has a long-term perspective, which is critical to building value, particularly in a company like Genpact.
“Genpact has earned its leadership position by partnering with global companies to improve business outcomes. Their relentless focus on the client and moving up the value chain has resulted in impressive revenue and client growth since becoming a public company in 2007,” said Bain Capital.
Bain Capital has agreed not to sell any Genpact shares for a period of two and a half years, subject to limited exceptions, and has agreed to a customary standstill.
Robert Scott will continue to serve as chairman of the Board of Genpact and NV ‘Tiger’ Tyagarajan will continue to serve as president and CEO.
“General Atlantic and Oak Hill Capital have been terrific partners for more than seven years and have been incredibly helpful in supporting our transformation from a captive business process services operation to a diversified, global leader in business process management and technology services,” said Robert Scott.
