Bharti, Warburg to pick up 49% in Haier India

Deal likely values home-appliance maker at ₹15K cr; China parent stays largest shareholder

- SHARLEEN D’SOUZA & GULVEEN AULAKH

Sunil Bharti Mittal-led conglomerate Bharti Enterprises and private equity firm Warburg Pincus will collectively acquire a 49 per cent stake in Haier Appliances India, the local unit of China’s Shandong-based Haier group, for an undisclosed amount. The transaction, according to industry sources, values the company at about ₹15,000 crore.

The deal marks the second instance of a Chinese major diluting a significant stake in its Indian operations, following Sajjan Jindal’s JSW group acquiring a shareholding in MG Motor India, a unit of SAIC Motor.

The Haier group will continue to hold a 49 per cent stake in its India unit, while the balance 2 per cent will be owned by Haier India’s management team, according to a joint statement. The statement did not disclose the individual shareholding of Bharti Enterprises and Warburg Pincus.

Bharti Enterprises may raise funds for the transaction through the issuance of nonconvertible debentures, sources said. It did not respond to queries from Business Standard until the time of going to press.