Bought 10% stake in STFC via secondary market: Rajesh Laddha, Piramal Enterprises

In an interview with ET Now, Rajesh Laddha, Group CFO, Piramal Enterprises, speaks about buying stake in Shriram Transport Finance Company. Excerpts:


ET Now: What does this investment really bring into the table for Piramal Enterprises?

Rajesh Laddha: We bought about 10% stake in Shriram Transport Finance Company Ltd. This was done on the floor of the stock exchange. We believe that this is a long-term strategic investment for us and it is going to be a long-term partnership.

ET Now: Tell us also if there is any board position as well that you are looking at.

Rajesh Laddha: No this has been bought from the stock market and as of now we do not have any board position.

ET Now: Will you be looking at hiking the stake in the company or the group companies?

Rajesh Laddha: No, there is no current plan of topping up any equity stake either in Shriram Transport or any of the group companies.

ET Now: And how does this acquisition really then fit into the entire investment strategy, especially when it comes to the bank license for the group?

Rajesh Laddha: We do not want to comment on any strategy as far as Shriram Transport is concerned, for the banking license. As far as we are concerned, we are still evaluating whether we would be applying for a banking license or not.