DE Shaw is exiting it's 3 year old investment in SIS securities by selling the stake to the promoters.
In 2008, DE Shaw & Co had invested Rs 300 Cr for a 14% stake in SIS India. SIS had used these funds to acquire Chubb Australia.
Transaction Reference:FE
SIS was started by Ravindra Kishore Sinha in 1974.Sinha and his family own 85% of the company. SIS offers a whole range of services from manned guarding of sites to secured transportation of cash, corporate investigation assignments to integration of electronic security gadgets. Some of its clients include Tata Steel, Tata Motors, ICICI, Idea Cellular and Future Group.
Sinha is talking to other PE funds including JP Morgan to raise about Rs500Cr by diluting 20% stake in the company, valuing the company at Rs2500Cr.
A Peek at the company's financials
| (Rs Mn) | 2010 | 2009 | 2008 | | | | Sales | 2719.42 | 2004.16 | 1465.74 | | | | EBITDA | 293.87 | 270.98 | 218.11 | | | | PAT | 86.85 | 107.25 | 96.65 | | | | Share Capital | 212.77 | 212.63 | 212.63 | | | | Reserves | 356.70 | 268.88 | 186.28 | | | | Total Debt | 447.13 | 358.54 | 248.79 | |
If the deal goes through, it would be the biggest PE deal in the private security market. SIS group has mandated NM Rothschild for finding investors. These funds will be used to finance acquisitions in both India and overseas.
SIS has also entered into JVs with Proseguer and Terminix in the fields of cash management and pest control services, respectively.
Apart from SIS, the other major players in Indian security market are Topsgrup, Checkmate Services and Group 4 Securicor. Topsgrup has raised PE funding from ICICI Venture and Indivision in 2008.
Blackstone is also planning to acquire New Delhi-based Securitrans India Pvt Ltd from APS Group. Securitrans provides security cover for large commercial banks during transportation of cash and other valuables.
| |
4134
3846
945
4260
973
|
|
17649
42
1677
25526
3005
|
|
1369
459
3151
32715
140
|
|
24632
|
|
Tags
DE Shaw ,
JP Morgan ,
SIS Securities ,
Ravindra Kishore Sinha ,
Tata Steel ,
Tata Motors ,
ICICI ,
Idea Cellular ,
Future Group ,
Proseguer ,
Terminix ,
Topsgrup ,
Checkmate Services ,
Group 4 Securicor ,
Securitrans India Pvt Ltd ,
APS Group ,
NM Rothschild ,
KVEZAR VIEW
| Date | Transaction | Type | Buyer | Size ($mn) |
| 09/09/11 |
SIS Securities - DE Shaw (Exit) |
M&A |
Ravindra Kishore Sinha |
- |
| 03/05/11 |
SIS India - JP Morgan, DE Shaw |
Private Equity |
DE Shaw Composite Investments (Mauritius) Limited |
112.77 |
| 09/01/08 |
SIS India - DE Shaw Composite |
Private Equity |
DE Shaw Composite Investments (Mauritius) Limited |
114.20 |
| Date | Type | Buyer | Target | Size ($mn) | State |
| 14/05/12 |
M&A |
OCS Systems |
Radiant Hospitality Services Private Limited |
- |
Completed |
| 08/05/12 |
Venture Capital |
The HR Fund |
People Matters Media Private Limited |
0.76 |
Completed |
| 04/05/12 |
M&A |
EFS Facilities Services |
Dalkia India Private Limited |
- |
Completed |
| 12/04/12 |
Venture Capital |
Unitus Seed Fund |
Villgro Innovation Marketing Private Limited |
- |
Completed |
Company |
| Name | Promoters | Office | Competitor | Website |
| Security And Intelligence Services (India) Limited. (SIS India) |
Ravindra Kishore Sinha |
Annapoorna Bhawan,
Telephone Exchange Road, Kurji
Patna - 800010
Bihar |
Balram Security Services
Tops Group
Group4Securicor
SDB Cisco (India) Limited |
www.sisindia.com |
