Private Equity

Fund News

Eight Capital ends ARC JV with JC Flowers, Emso

Mint  

Mumbai-based distressed asset investor Eight Capital ended a partnership with New York-based private equity firm JC Flowers group and London-based Emso Asset Management to acquire over INR 54,000 crore worth of Yes Bank Ltd's bad loans because of differences over valuation. Following Eight Capital's exit, its chairman and managing partner - Ravi Chachra - has also resigned as chief executive of an asset reconstruction company (ARC) led by JC Flowers that was to assume the troubled private lender's bad loans. Eight Capital will sell its 35% stake in JC Flowers ARC to an external buyer, besides transferring its two board seats to the acquirer. A potential buyer for the stake has yet to be finalized. JC Flowers and Emso Asset own 50% and 15% of the ARC.