Singapore fund buys 9.4 pc in NIIT Ltd

NEW DELHI: Singapore-based investment group Orient Global has acquired a 9.4 per cent stake in IT education firm NIIT Ltd for $48 million, while Citigroup Global Mkts Mauritius increased its holding from 1.32 per cent to 8.55 per cent at an estimated Rs 159 crore.

Richard Chandler-founded Orient Global purchased 2.06 million shares held by Intel Capital, the venture capital arm of Intel, from the secondary market, sources said.

In a separate transaction, Citigroup acquired 15.87 lakh equity shares in NIIT, increasing its holding to 8.55 per cent said.

Calculated at today's closing share price of NIIT of Rs 1003.55 on the BSE, Citigroup is estimated to have paid about Rs 159 crore for the acquisition.

Before the acquisition Citigroup owned about 1.32 per cent stake in NIIT.

NIIT offers learning and knowledge solutions to individuals and corporations, training 500,000 people annually in over 3,300 education centres in 30 countries, including China, Vietnam, Indonesia, Botswana, Nigeria, Ghana, Kazakhstan, Colombia and Peru.

NIIT is the only Asian education and training organisation to feature among the IDC Top 20 Global IT Training leaders.

"We are delighted to be investing in the next stage of the company's development," Orient Global President James Tooley said in a statement.

NIIT posted a 107 per cent increase in its profit after tax at about Rs 17 crore for the fourth quarter ended March 31. Net revenues during the quarter grew by 123 per cent to Rs 256.60 crore.