The Board of Directors of Apollo Tyres Ltd. approved an issuance of compulsorily convertible preference shares in the company worth Rs. 10,800 million (approximately USD 150 million) to an affiliate of Warburg Pincus, a leading global private equity firm focused on growth investing. The investment represents primary capital infusion into the company and is subject to shareholder and regulatory approvals.
Commenting on the transaction, Onkar Kanwar, Chairman and Managing Director, Apollo Tyres Ltd., said: “I am delighted to announce this investment. It is a strong vote of confidence in our business, management team and growth prospects.”
“I believe the company will benefit from the backing of a large financial investor of their pedigree and our partnership will further strengthen Apollo Tyres’ board and governance,” he added.
Vishal Mahadevia, Managing Director and Head, Warburg Pincus India, said: “We see a compelling growth story in Apollo Tyres and believe the company is well-positioned to build upon the strong leadership position it has carved out within the industry. We are excited to partner with the management team of Apollo Tyres in this journey and look forward to supporting them during the next phase of the company’s growth.”