Findi raises $37.6 million ahead of TSI India IPO
Released
Released
Announcement PDF
15 November 2023
ASX ANNOUNCEMENT: FND
FINDI LIMITED (ASX: FND)
Findi raises $37.6 million ahead of TSI India IPO from leading Indian investment firm
Piramal Alternatives, backed by leading Canadian pension fund CDPQ
Digital payments and financial services provider, Findi Limited (ASX: FND) (Findi or the
Company) is pleased to announce that its Indian subsidiary, Transaction Solutions
International (India) Pvt Ltd (TSI India), has raised $37.6 million via the placement to leading
Indian investment group, Piramal Alternatives (www.piramal.com) of Compulsory Convertible
Debentures (“CCD”), which are compulsorily convertible to equity at IPO.
The entry equity valuation is based on an FY23 EBITDA multiple and reflects a pre-IPO market
capitalisation of $153.0 million (post money $190.6 million) ahead of TSI India’s intended
listing on the Bombay Stock Exchange (BSE).
The funds will be allocated with respect to working capital and capital expenditure. The raise
will improve TSI India’s free cash position by in excess of $45 million and can be utilised for
acquisitions and the acceleration of Findi’s expansion plans in India, including the FindiPay
digital payments business, the roll-out of white label ATMs after required approval from the
Reserve Bank of India (RBI) and further transactions to scale-up its merchant and ATM
network.
The CCD’s will be held by Piramal Structured Credit Opportunities Fund which is 75 per cent
owned by one of Canada’s largest pensions funds, CDPQ (www.cdpq.com). Piramal has the
right to nominate a director to the TSI India Board, and the CCD’s reflect a fully diluted equity
interest of approximately 16.7% of the Company once converted at IPO.
The unlisted CCD’s have an annual coupon payment of 8 per cent while TSI India has a call
option to buyback the securities at a committed IRR of 18%.
Piramal Group is a global business conglomerate with diverse interests in pharma, financial
services and real estate. The Group has offices in over 30 countries and a global brand
presence in more than 100 markets and operates with over 10,000 people worldwide.
This investment follows the recent announcement by Findi (refer announcement dated 30
October 2023) that the Company had locked in $550-$620 million of future revenue from a
new ATM contract with the State Bank of India.
Level 4, 90 William St, Melbourne, Victoria, 3000, Australia
www.findi.co ABN 98 057 335 672
15 November 2023
ASX ANNOUNCEMENT: FND
Commenting on the CCD issue, Findi Chairman Mr Nicholas Smedley said, “The support of
Piramal Alternatives demonstrates that Findi is an emerging institutional investment
proposition.
“Piramal undertook extensive due diligence on TSI India before they made their investment
which is a great endorsement for both our business plan and the sector outlook for Findi as a
whole.
“Importantly, the backing of Piramal starts the clock on the anticipated listing of our Indian
subsidiary on the BSE and gives us a significant war chest to accelerate our business plan
through EPS accretive acquisitions”, he said.
Information regarding Piramal Alternatives
Piramal Alternatives is the fund management business of the Piramal Group and a leading institutional
capital provider in India. With a total of $1.5 billion under management, it is making a significant
impact in addressing credit gaps within the mid-market segment. The company has established deep,
decades-long relationships with renowned investors such as CPPIB, CDPQ, IFC, and global partners like
Bain Capital.
Piramal Alternatives offers tailored capital solutions, ranging from pure credit to structured
investments, specifically designed to support business transformation, turnaround, and growth. It has
a proven track record of strong relative performance and multiple realizations across asset classes.
Piramal Alternatives aims to be a significant provider of customized solutions across the entire capital
stack to high-quality corporates that are looking to maximize their growth. The flagship funds include
the India Resurgence Fund (India RF), the Piramal Performing Credit Fund, the Hybrid Growth Private
Equity Fund and the India Access Fund (Private Equity Fund of Funds)”
Authorised for release by the Board of Findi Limited.
Investor Enquiries
Nicholas Smedley, Chairman
0447 074 160
nicholas@findi.co
Media Enquiries
John Hurst, Tribune Partners
0418 708 663
jhurst@tribunepartners.com.au
Level 4, 90 William St, Melbourne, Victoria, 3000, Australia
www.findi.co ABN 98 057 335 672
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