Bain Said to Agree to Buy 40% Stake in Genpact
Bain Capital Partners LLC has agreed to acquire 40 percent of outsourcing company Genpact Ltd. (G) from General Atlantic LLC and Oak Hill Capital Partners LP, according to two people with knowledge of the matter.
Bain, the Boston-based private-equity firm that manages almost $65 billion, is paying near Genpact’s current market value for the stake, said the people, who asked not to be identified because the information is private. At Genpact’s market capitalization of $3.9 billion yesterday, the stake is worth about $1.6 billion, data compiled by Bloomberg show.
The deal may be announced as soon as today, the people said. Nandini Kochar, a spokeswoman for Genpact in India, declined to comment in an e-mailed statement. Spokesmen for Bain and Oak Hill declined to comment. Patricia Hedley, a spokeswoman for General Atlantic, didn’t immediately respond to a phone message and e-mail seeking comment.
Genpact began operations in 1997 as an India-based computer-services unit of General Electric Co. (GE) that assisted the U.S. company’s finance division. The Bermuda-based company still gets a quarter of revenue from GE, President NV “Tiger” Tyagarajan said last month.
Oak Hill and General Atlantic acquired 60 percent of the company, formerly known as GE Capital International Services, for $500 million in 2004. The two funds, which have the right to nominate two directors to Genpact’s board, sold some of their investment during Genpact’s initial public offering in August 2007, data compiled by Bloomberg show.
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