ELP ADVISES FUTURE LIFESTYLE

Economic Laws Practice (ELP) assisted Future Lifestyle Fashions (FLFL) with the sale of a 10% stake to Singapore-based Spectacular Investments for US$125 million. The transaction is a combination of primary and secondary purchase (through a block deal), involving issuance of equity shares to Spectacular, and sale of shares by a few promoters and existing private equity investor Premji Invest to Spectacular.

ELP advised FLFL and sellers on the transaction, including drafting and negotiation of the transaction documents. The firm’s team comprised partners Darshan Upadhyay and Bhavin Gada, and senior associate Manendra Singh.

Spectacular is a registered foreign portfolio investor and owned by venture capital and private equity firm L Catterton Asia.

B CAPITAL INVESTS IN BIZONGO

B Capital, a fund floated by Facebook co-founder Eduardo Saverin, has made a Series B investment in Smartpaddle Technology (Bizongo). The investment by B Capital is a part of the larger Series B round of funding of US$20 million involving investment by International Finance Corporation, IDG and Accel.

Mumbai-based Bizongo operates a B2B marketplace in wholesale trading of packaging products.

J Sagar Associates advised B Capital with a team comprising partner Manvinder Singh, senior associate Sonali Kapoor, and associates Aishwarya Malik and Srinivas Anirudh. LexStart Partners advised Bizongo and Trilegal advised IFC.

INSIDER TRADING ACQUITTAL

The Supreme Court has set aside a decision of the Securities Appellate Tribunal (SAT) that had upheld the finding of the Securities and Exchange Board of India (SEBI) that Chintalapati Srinivasa Raju (CSR) and his investment company Chintalapati Holdings (CHPL) were involved in insider trading.

The bench observed that SEBI failed to establish the requirements set out in the definition of “insider” under the
insider trading regulations and did not demonstrate that CSR had possession of inside information when he traded in the market.

J Sagar Associates represented CSR and CHPL in the appeal before the Supreme Court. The team comprised partners Ravichandra S Hegde and Divyam Agarwal, senior associate Kirti Sasnur, and associate Ritunjay Gupta.

TEMASEK BUYS STAKE IN BANK

Singapore-based global investment company Temasek picked up a 4.81% stake in AU Small Finance Bank through preferential allotment of shares and convertible warrants for US$147 million.

Khaitan & Co advised Temasek on the transaction from an Indian legal perspective. The core transaction team comprised partner Aakash Choubey, principal associate Vidushi Gupta and associate Rishika Lekhadia.

HDFC’S PRIVATE PLACEMENT

AZB & Partners advised HDFC Asset Management on the private placement of up to 1.4 million equity shares worth up to US$22 million. The private placement was meant to take place before the company’s IPO, which was held up by the Securities and Exchange Board of India (SEBI) on 27 April.

Partners Varoon Chandra and Lionel D’Almeida worked on the deal. They were assisted by associates Ronak Chawla and Aditi Verma.