New
Delhi, February 13, 2004:
Max India today announced a preferential issue
of equity shares in the Company to ChrysCapital.
The issue approved by the board today represents
a 10.71% stake in the fully diluted equity base
of the Company. The proposed investment, totaling
Rs. 49.82 crore is for 27,67,699 equity shares
of Rs. 10 each at an issue price of Rs. 180
per share.
Mr.
B. Anantharaman, Group Finance Director
said, "This marks the second phase of the
group's restructuring exercise. The Company
has substantially retired debt and infused over
Rs. 380 crore in its Life Insurance and Healthcare
businesses, which have demonstrated strong performance."
Mr. Anantharaman added, "The proceeds of
the preferential issue would further strengthen
the balance sheet of the Company. Max India
with a current paid up capital of Rs. 23 crore
has free reserves in excess of Rs. 425 crore."
The Company reported profit before tax of Rs.
29 crore for the 3rd quarter ended December
31, 2003.
Mr.
Analjit Singh, Chairman of the Max Group,
said, "The proposed investment by ChrysCapital
demonstrates the strong business fundamentals
of the Company as it builds the country's top
quartile private Life Insurance business through
Max New York Life Insurance Company and an integrated
Healthcare delivery business in the National
Capital Region through Max Healthcare, to be
a dominant Healthcare player in the North."
Max
New York Life Insurance Company, a joint venture
between New York Life, a Fortune 100 company
and Max India brings innovative life insurance
solutions based on New York Life's global experience
of over 158 years and Max India's deep understanding
of the Indian market. In recognition of Max
New York Life's high standards of service, it
has become the first life insurance company
in India to be awarded ISO 9001: 2000 certification.
As of January 2004, Max New York Life Insurance
Company has sold close to 200,000 policies,
is having Rs. 10,000 crore as in-force sum assured
and has a pan India presence through 26 sales
offices in 21 cities.
Max
Healthcare is all set to become the first truly
integrated healthcare delivery system in India,
offering within one model, all 3 levels of care
- Primary, Secondary and Tertiary. The company
plans to complete this multi-facility model
in National Capital Region of Delhi, with a
targeted investment of Rs. 420 crore substantially
within 2004-05.
As
part of the first phase of its restructuring
exercise, Max India had exited its Pharmaceutical
and Medical Transcription businesses recently.
The Company continues to hold a 10% stake in
Hutchison Max Telecom, operating cellular telephony
services in the Mumbai circle.
About
ChrysCapital
ChrysCapital
is a private equity firm with approximately
$ 200 million under management across two funds.
It invests in a number of growth-oriented industries
including Financial Services, Specialized BPO,
IT Services, Pharmaceuticals & Health Care
and Business Services. ChrysCapital's investors
include prestigious institutional investors
like Harvard Management, IBM, HSBC, Government
of Kuwait, Microsoft, Stanford University and
Government of Singapore, individual investors
who are founders of many premier technology
firms in the US, CEOs of multinational firms,
and partners of top-tier global private equity
firms.
For
further information contact:
Deep
Ghatak
Manager -Corporate Communications
Max India Limited
Tele # 2632 2776 (D) ; 2693 3610 extn. 192
Mobile # 98186 48323
Fax # 632 4126
E-mail : dghatak@maxindia.com
.
