According to Indian press reports Experian Credit Information Company of India Pvt Ltd (Experian India), one of the four credit information companies (CICs) in India licensed by the Reserve Bank of India (RBI), has made a bid to buy minimum 26% stake in troubled and cash-strapped High Mark Credit Information Services Pvt Ltd (High Mark).
Experian India has quoted Rs25 per share to buy 26% stake in High Mark and has already completed due diligence. Earlier, High Mark was negotiating with Italy-based CRIF credit bureau for a bailout. High Mark was offered Rs30 per share by CRIF, which is also an existing shareholder in the credit bureau. CRIF SpA owns 9.09% stake in High Mark.
Richard Fiddis, managing director for strategic markets at Experian PLC, declined to comment on the stake purchase. He said, “Indeed, Experian India—our JV credit information company is going through the process of recapitalization as per our original funding plan for the business and Experian as the cornerstone investor has already contributed its share of the recapitalization funds.”
Experian India is a joint venture of UK-based Experian with Axis Bank, Federal Bank, Indian Bank, Magna Finance, Punjab National Bank, Sundaram Finance and Union Bank of India.
Source: MONEYLIFE DIGITAL TEAM