McGraw Hill Financial Raises Stake in CRISIL to 67.8%
McGraw Hill Financial (NYSE: MHFI) today announced it has added to its investment in CRISIL Limited, a global analytical company and India's leader in credit ratings and research, increasing its stake to 67.8% from 52.8%.
As part of the voluntary tender offer announced in June 2013, McGraw Hill Financial acquired 10,623,059 equity shares from shareholders of CRISIL, which represents 15.1% of the total equity shares outstanding. The tender period began July 24, 2013 and concluded August 6, 2013.
"We have enjoyed a very productive long-term relationship with CRISIL, which has been enormously successful, and our new investment underscores the confidence we have in CRISIL's future," said Harold McGraw III, Chairman, President and CEO of McGraw Hill Financial.
The cash offer of INR 1210 per share values the transaction at approximately INR 12.9 billion or $214 million (based on prevailing exchange rates). McGraw Hill Financial financed the transaction with existing cash resources.
The offer represented a premium of 29% to the closing share price on May 31, 2013, and a premium of 12% to CRISIL's all-time closing high on the National Stock Exchange of India Limited (NSE) prior to the offer being announced.
CRISIL and Standard &