TPG, Apax, others eye Tessolve stake

PE firms seek 30-40% in chip services firm at $300 mn valuation

- Ranjani Raghavan & Sneha Shah

Bengaluru-based Tessolve Semiconductor Pvt. Ltd is in talks with global private equity (PE) firms including Apax Digital, TPG and Primerica to sell a minority stake for growth capital, three people with knowledge of the development said.

The PE firms are eyeing 30-40% stake in the semiconductor services company at a valuation of around $300 million, the people cited above said on the condition of anonymity.

"Currently, the due diligence is on," the first person said. "Binding bids will take some time."

The second person said that global investment bank Jefferies has been appointed to help the company raise capital. "The capital will help the company grow its business inorganically and expand into newer categories and also grow its geographical presence," this person said. "It is looking for a PE partner to help it with growth capital."