Temasek close to buying 20% in visa services provider VFS Global

Temasek Holdings Pte is nearing a deal to buy a significant minority stake in VFS Global, according to people familiar with the matter, a transaction that could value the visa outsourcing and technology services firm at about $7 billion including debt.

The Singapore state-owned investor is poised to acquire about 20% in closely held VFS, which is controlled by US alternative asset manager Blackstone Inc., the people said, asking not to be identified because the deliberations are private. Temasek and Blackstone are hammering out the details of a deal that could be announced as soon as Monday, the people said. Blackstone will remain the majority shareholder in VFS after the deal, the people said.

Blackstone has been weighing options including a full or partial sale in VFS after receiving interest from investors such as sovereign wealth funds, Bloomberg News reported on Friday. VFS has a large presence in India, where it provides visa application services for the US consulate in several cities.