- | 4:30 pm
RIL, Havells vie for controlling stake in Whirlpool India: report
Whirlpool Corporation, the Michigan-based parent company, seeks to reduce its stake by 31% in its Indian subsidiary—which generates 85% of its Asia revenue.
Reliance Retail and Havells India have entered the race to acquire a majority stake in Whirlpool of India, competing with major global private equity firms such as EQT, Bain Capital, and TPG Capital, The Economic Times reported.
Whirlpool Corp., the Michigan-based parent firm, seeks to reduce its stake by 31% in its Indian arm—which generates 85% of its Asia revenue—while retaining a 20% equity interest. The stake is currently held through Whirlpool Mauritius Ltd.
The move is part of a global strategy to reorganize and streamline operations across regions, initiated at the end of 2022 after the company reported a $1.5 billion loss.
Since then, Whirlpool has streamlined its portfolio in key Asian and European markets and implemented cost-cutting measures, including workforce reductions.
The company aims to raise net cash proceeds of $550–600 million (about ₹4,684–5,110 crore) from this transaction, the report said, citing people aware of the matter.
Reliance Retail and Havells India are reportedly competing with financial sponsors EQT and Bain Capital, who were shortlisted after the initial screening. TPG Capital has also reportedly initiated due diligence.
The acquisition framework includes a mandatory open offer for an additional 26% stake from public shareholders.
If fully subscribed, the buyer could end up with as much as 57% of Whirlpool of India. Currently, public shareholders account for 49% of ownership in the company.
In January, Whirlpool Corp.’s chief financial and administrative officer, James W. Peters, told analysts that the India transaction has garnered significant interest from large third-party investors and is expected to close in the second half of 2025.
The proceeds are expected to help the parent firm repay or refinance debt.
Queries emailed to Whirlpool Corp., Reliance Retail, and Havells India remained unanswered at the time of publication. Similarly, emails sent to Bain Capital did not elicit a response. TPG Capital and EQT declined to share comment on this.
More Top Stories:
