Narayana plans Rs 1,400 Cr buyout of Morgan Stanley, BanyanTree in Nspira: Report
Both investors collectively hold a 20% stake in the company, with Morgan Stanley having slightly over 18% and BanyanTree holding the remaining portion.
Education group Narayana reportedly plans to acquire the stakes held by private equity investors Morgan Stanley Private Equity Asia and BanyanTree Finance in its subsidiary Nspira Management Services, in a deal valued at around Rs 1,400 crore.
The Economic Times has reported that the Hyderabad-based education group intends to buy the stakes held by the two PE firms through structured debt of approximately Rs 1,400 crore raised from foreign banks.
The funds will predominantly be used for buying Nspira stakes, with a smaller portion allocated for discretionary spending in other group entities, the report added.
YourStory has reached out to Narayana for a comment.
Nspira secured a $75 million investment in 2018, led by Morgan Stanley PE with a contribution of $67 million, and currently, both investors collectively hold a 20% stake in the company, with Morgan Stanley having slightly over 18% and BanyanTree holding the remaining portion.
Nspira offers solutions for the diverse needs of Narayana group's educational institutes, like staffing, organisational development, IT infrastructure, sales and marketing, facilities management, and administrative functions.
Founded in 1979 by Dr P Narayana, Narayana Educational Group now operates over 750 schools, colleges, coaching centres, and professional colleges across 23 Indian states, serving over 600,000 students annually.
Edited by Affirunisa Kankudti