Processing .....please wait.. 
The article has been forwarded.... 
US turnaround specialist acquires first Indian firm
Wednesday, 04 October 2006, 19:30 IST
NEW DELHI: American private equity investor W.L. Ross & Co. LLC, which specialises in corporate turnaround, is entering the Indian market though the $37 million (
1.70 billion) acquisition of textile company OCM India Ltd.
OCM has a state-of-the-art worsted textile manufacturing facility. The company has vertically integrated from fibre to fabric and has 34,000 spindles, 185 looms and 12 auto coners, according to a press release.
The textile company has brand presence through its tweed and jacket suiting, which are sold through 60 wholesalers and over 1,200 retailers across the country. The company's products are also marketed globally.
Ross's all-cash acquisition of OCM is being made pursuant to a scheme of arrangement between Birla VXL Ltd and its existing lenders, creditors and shareholders and OCM and its shareholders. The process is being carried out through The Asset Reconstruction Company of India (Arcil).
The press release quoted Sudhamoy Khasnobis, managing director and CEO of Arcil, as stating that "the OCM acquisition is the first 100 percent buyout of a major Indian enterprise by a global turnaround fund".
"We are proud to be the first foreign fund selected by ARCIL to rehabilitate a portfolio company, and we hope to apply our basic industry skills to other special situations in India," stated Ranjeet Nabha, managing director and CEO of W.L. Ross's India initiatives.
W.L. Ross has sponsored over $4.5 billion of alternative investments since its founding in 2000.
Known for restructuring failed companies in industries such as steel, coal, telecommunications, foreign investment and textiles, W.L. Ross's notable principal transactions include rolling up five bankrupt US steel companies into the International Steel Group, which was sold in 2005 to Mittal Steel for $4.5 billion.
The company had entered the textile industry in 2003 through the acquisition of Cone Mills and Burlington Industries to create one of the largest textile companies in the world, International Textile Group, with investments in the US, Mexico, South America, China, Vietnam and Nicaragua.
Source: IANS
1.70 billion) acquisition of textile company OCM India Ltd.
OCM has a state-of-the-art worsted textile manufacturing facility. The company has vertically integrated from fibre to fabric and has 34,000 spindles, 185 looms and 12 auto coners, according to a press release.
The textile company has brand presence through its tweed and jacket suiting, which are sold through 60 wholesalers and over 1,200 retailers across the country. The company's products are also marketed globally.
Ross's all-cash acquisition of OCM is being made pursuant to a scheme of arrangement between Birla VXL Ltd and its existing lenders, creditors and shareholders and OCM and its shareholders. The process is being carried out through The Asset Reconstruction Company of India (Arcil).
The press release quoted Sudhamoy Khasnobis, managing director and CEO of Arcil, as stating that "the OCM acquisition is the first 100 percent buyout of a major Indian enterprise by a global turnaround fund".
"We are proud to be the first foreign fund selected by ARCIL to rehabilitate a portfolio company, and we hope to apply our basic industry skills to other special situations in India," stated Ranjeet Nabha, managing director and CEO of W.L. Ross's India initiatives.
W.L. Ross has sponsored over $4.5 billion of alternative investments since its founding in 2000.
Known for restructuring failed companies in industries such as steel, coal, telecommunications, foreign investment and textiles, W.L. Ross's notable principal transactions include rolling up five bankrupt US steel companies into the International Steel Group, which was sold in 2005 to Mittal Steel for $4.5 billion.
The company had entered the textile industry in 2003 through the acquisition of Cone Mills and Burlington Industries to create one of the largest textile companies in the world, International Textile Group, with investments in the US, Mexico, South America, China, Vietnam and Nicaragua.
Source: IANS