Sequoia sells out of Prataap Snacks to a Dangi promoted entity

Authum Investment & Infrastructure (AIIL) and Mahi Madhusudan Kela are together acquiring 46.85% stake of Prataap Snacks (PSL) from Sequoia.

  • 42.31% is being acquired by AIIL and 4.54% by Mahi Madhusudan Kela @ Rs 746/ share
    • Mahi will also get classified as part of the promoter group.
  • Sequoia is selling out completely.
  • In line with the regulations, an open offer of additional 26% is being made by AIIL @ Rs 864/ share
  • PSL’s closing price before announcement of the transaction was Rs 889/ share

Important points to note –

  • AIIL is a listed NBFC engaged in the business of fund-based activities – including investment in shares, securities, mutual funds etc. and providing loans and advances, etc.
  • It’s an entity promoted by the family of stock market expert Sanjay Dangi. The family owns 75% of the Company.
  • Dangi was earlier a witness in the DHFL scandal case. The CBI recently had informed the court that it would soon file a chargesheet against Dangi and his wife.
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