Two private equity funds are planning to make an investment in the cafe chain Coffee Day group after the troubled company cleared a third of its debts to lenders and other lenders recently.
Singapore-based SSG Capital Management and Affirma Capital (formerly Standard Chartered PE) are exploring opportunities and amongst the leading names to look for possible investments options in Coffee Day Global (CDGL), a subsidiary of the listed entity Coffee Day Enterprises,suggest sources.
CDGL manages cafe, vending machines and other retail business. Affirma, KKR and NSR are stakeholders in the listed company.
As reported ET retail, top executives of SSG and Affirma spread have had a couple of video-conferencings with the top management of Coffee Day group, including Malavika Hegde, wife of group founder, the late VG Siddhartha. Talks, however, have been inconclusive.
Sources reveal that the investments will either be structured credit or pure equity infusion, which needs to be finalised.