Mumbai: Private equity firms, including J P Morgan and Goldman Sachs and telecom majors Nokia, Ericsson, Huawei and ZTE have proposed to pick up 22 per cent stake in Global Holding Corp (GHC), which has two listed firms GTL Ltd and GTL Infrastructure and three unlisted entities.

"In October last year, GHC diluted 8 per cent stake for $150 million to Technology Infrastructure, an offshore fund. Now it intends to dilute additional 22 per cent stake to raise around $700 million. Many private equity players and telecom companies have evinced interests. The deal is likely to take shape soon," industry sources told reporters.

The market capitalisation of the two listed entities was $1.7 billion as on June 31, 2008. The Group recorded in excess of $600 million revenue last fiscal. The company had early this year said promoters intend to dilute anywhere between 9-30 per cent stake in GHC to raise $150 to $500 million for increasing promoters stake in the listed firms.

GHC holds 44 per cent in GTL Ltd and 23 per cent in GTL Infrastructure. GTL Ltd in turn owns 41 per cent in GTL Infra. GHC promoters have infused $101.76 million since March 2006 to enhance their stake in GTL Ltd through creeping acquisition from 26 per cent earlier. Promoters intend to hike GHCs stake in GTL Ltd to 69 per cent and to 51 per cent in GTL Infra directly. GHC has two other wholly-owned arms, Global Projects and Global Innovsource and 90 per cent stake in tower manufacturing arm Global Towers.
Source : PTI