ARISAIG PARTNERS TO BUY 3.

5% STAKE IN WESTLIFE DEVELOPMENT

PE deal values McDonalds

franchisee at ~5,187 crore
Funds generated to be used for investments in expansion of business
BS REPORTER
Mumbai, 23 July

ingapore-based investment
firm
Arisaig
Partners, which bets on
consumer-driven companies,
would pick up a 3.5 per cent
stake in McDonald's franchisee, Westlife Development,
for ~180 crore, it was
announced on Tuesday.
Westlife
subsidiary
Hardcastle Restaurants runs
the operations of McDonald's
in the west and south of India.
Operations in the north and
east are run by another franchisee named Connaught
Plaza Restaurants.
Arisaig would pick up the
stake in Westlife via a preferential allotment of 5.4 million
shares, which would be made
available to it at ~333.1 a piece.
The deal values the firm at
~5,187 crore.
Following the preferential
allotment, the Jatias, promoters of Westlife, would hold 64.1
per cent in the company.
The funds raised through
the preferential allotment
would be used to invest in the
growth of our business, aggressively increase our retail foot-

SPREADING WINGS
ACROSS FIRMS
Arisaig Partners holdings
Company

Stake (%)

Future Ventures 9.51

Future Retail
9.34
Britannia Ind
8.92
Trent
8.86
Marico
5.48
JubilantFoodWorks 5.39
Colgate-Palmolive 3.53
United Breweries 3.32
Shoppers Stop
3.02
Godrej Consumer 2.73
Nestle India
1.90
As on June 30, 2013
Compiled by BS Research Bureau

A small chunk of the burger

| 3.47% Stake in Westlife Development that Singaporebased Arisaig Partners will pick up
|
|
|

~180 crore The cost to Arisaig Partners

~333.05 Value of each share
~5, 187 The total value of Westlife Development as per
the deal

Source: BSE

print, fortify our presence in

the existing markets and
enable us to enter newer markets, said Amit Jatia, vicechairman,
Westlife
Development.
Westlife has 166 restaurants
at the moment, with plans to
double this number in the next
two years.
Westlife would join a list of
marquee names such as
Trent, United Breweries,

166 Total no of restaurants Westlife Development runs

Future Retail, Marico, Godrej

Consumer and Jubilant
FoodWorks, master franchisee
of Dominos in India,
Britannia and Shopper's Stop,
who are already on Arisaig's
investee company list. Some
Indian subsidiaries of multinational companies who are
on Arisaig's rolls include
Nestle,
GlaxoSmithKline
Consumer and ColgatePalmolive.

Arisaig's move comes at a

time when Westlife has just
received approval from the high
court here for consolidation of
its subsidiaries with it. Initiated
last year, the approval would
make Hardcastle a direct subsidiary of it.
The stock of Westlife was up
two per cent on the Bombay
Stock Exchange on Tuesday, to
close trade at ~328.5. This was
also its days high.