(Corrects second paragraph to say deal value was $1.35 billion,
not $1.5 billion)
Oct 4 British private equity firm SVG Capital
Plc said on Tuesday it would sell half of its investment
portfolio for 379 million pounds and wind down operations by the
end of 2017.
The company, which rejected U.S. rival HarbourVest's $1.35
billion bid last month, said winding down would be a better
option for its shareholders rather than accepting the offer.
SVG's statements came after HarbourVest earlier on Tuesday
urged shareholders to accept its offer.
The latest developments come after SVG said on Monday it was
in talks with a consortium that included Goldman Sachs Group Inc
and the Canadian Pension Plan Investment Board.
SVG had also said it would give further updates on these
discussions on Tuesday. However, Tuesday's statement did not
provide any details.
The company said it planned a 450-million-pound ($573.21
million) tender offer before the year-end at 700 pence per share
and would launch an additional 300-million-pound offer in early
HarbourVest had offered 650 pence per share.
SVG said it agreed in principle to sell half of its
investment portfolio to Pomona Capital and Pantheon Ventures at
a 7.8 percent discount.
The company said it intends to sell rest of the portfolio,
worth 388 million pounds, next year and wind down by the year's
SVG shares closed down 0.9 percent at 674 pence on Tuesday.
($1 = 0.79 pounds)
(Reporting by Mamidipudi Soumithri in Bengaluru; Editing by
Shounak Dasgupta and Sriraj Kalluvila)