TPG, GIC Stitch Local Deals to Chase Haier

PE firms tie up with local business families for up to 49% stake

- Sneha Shah, Ranjani Raghavan & Satish John

Global private equity firm TPG Capital and Singapore government's sovereign wealth fund GIC have entered the race to acquire up to 49% stake in the Indian operations of Chinese consumer durables maker Haier, four people aware of the development said. While TPG has teamed up with the Burman family, GIC is bidding along with the Goenka family of the Welspun Group, these people said.

"The first round of bidding is through. Currently, the bidders are carrying out due diligence," one of the people cited above said, requesting anonymity.

The company has appointed investment bank Citigroup Capital Markets to find buyers for the stake. "There are various structures being discussed with various bidders," the second person added. The deal may value the company at around $2 billion.