INSUBCONTINENT EXCLUSIVE:
Bengaluru: The Coffee Day Group hopes to close its proposed sale of the Global Village tech park in Bengaluru to US private equity giant
Blackstone in about a week's time, having crossed all major hurdles including government approvals and a green signal from most of its
lenders.
The Ministry of Commerce cleared the proposed deal on Friday
This approval was necessary as the 90-acre IT-focussed business park comes under the special economic zone (SEZ) regulations
Private lender Yes Bank has also issued a no-objection certificate
Tanglin Developments, a group subsidiary and the park’s promoter, owes the bank Rs 100 crore.
Coffee Day Enterprises, the Bengaluru-based
listed holding company of the group, needed approvals from the central and Karnataka governments as well as NoCs from 16 banks and other
“We have secured most of them, and a couple of bank NoCs are expected in a day or two,” a company executive briefed on the subject told
ET, on the condition of anonymity as he is not authorised to speak to the media.
Karnataka chief minister BS Yediyurappa, state officials
said, personally advised his officials to fast-track his government’s approvals as Coffee Day is a coffee brand based out of the state,
founded by the late VG Siddhartha, with a pan India footprint of about 1,500 stores
“The CM was keen on speedy clearances as jobs of about 20,000 people hinged on the Coffee Day group’s survival, and most of these jobs
are in Karnataka,” an official privy to approvals said
Yes Bank, Blackstone and the Coffee Day Group didn’t respond until press time Monday to emails seeking comment.