Valuemart Retail India acquires 59.86 per cent shareholding in Residency Projects and Infratech Ltd

Valuemart Retail Ltd has acquired a 59.86 per cent stake in Residency Projects and Infratech Ltd. Valuemart Retail India Ltd said it will be purchasing the stake from the target firm’s existing promoters. Based in Bangalore, Valuemart India is keen on bolstering its position and offering by acquiring new businesses and prospects. The firm is in a bid to acquire additional investments, to include new markets and product offerings.

The firm is a provider of retail solutions and with this investment, Valuemart India will extend its service offerings to the housing finance and financial services sector. Valuemart Retail is making an open offer to acquire additional 20% stake from the public shareholders as per SEBI guidelines. IFCI Financial Services has been appointed as managers to the offer.

Residency Projects and Infratech Limited is part of the Ranka Group, and is also based in Bangalore. The firm is a housing finance, real estate property and infrastructure development firm and is listed on the Bombay Stock Exchange and Bangalore Stock Exchange.

Valuemart Retail offers B2C solutions, RFID solutions, smartcards and web based solutions for retail & financial services sector. It is promoted by C K Vasudevan; the Managing Director of the firm who is registered with the BSE. Valuemart Info Technologies holds a 13.72 per cent stake in Valuemart Retail (India) Limited.

Valuemart Retail is making an open offer to acquire 20 per cent stake from the public shareholders as per Sebi guidelines. The open offer was announced publically on November 22. IFCI Financial Services has been appointed managers to the offer, a release from Valuemart said today.

Valuemart Retail India will extend its service offerings in the housing finance and financial services sector. The move is line with the firm’s strategy geared at enhancing its position in a number of diverse portfolio offerings. According to the firm, Valuemart is currently focused on reinforcing its business offering and will undertake a number of open acquisition investment options.

The acquisition of Residency Projects and Infratech Ltd is expected to bolster Valuemart’s offering and marks its foray into the housing finance, real estate property and infrastructure development space. The firm reiterated its commitment to increased and strategic acquisitions to spur growth and maintain business sustainability. The open offer for the 20 per cent stake acquisition is part of this strategy, said a press release statement.

25 Nov 2010.