Business Standard 26 August 2012
Indian companies are mulling overseas listing to pave the way for smooth exit of their Private Equity (PE) investors, experts say.
According to mergermarket, an M&A intelligence service provider, private equity firms are evaluating overseas listings as exit options in the domestic market are drying up.
A large number of international PE funds made investments in India during 2006 to 2008, but they are holding on to their portfolios firms for lack of good exit opportunities.
According to investment bankers, some possible listing candidates include mobile software companies like InMobi, IMIMobile, One97 Communications, iYogi, online travel portal Yatra.Com and e-commerce players like Flipkart and SnapDeal.
Stock exchanges such as Nasdaq or the New York Stock Exchange, London’s AIM exchange, or locations like Singapore and Hong Kong are being considered for listing as investor appetite for domestic IPOs appears poor, said a PE advisor.