India’s Mumbai-based Hinduja Group is involved in due-diligence ahead of a purchase of struggling Belgian outside broadcast and facilities company Alfacam. Sources suggest they are seeking to take at least 75 per cent of Alfacam. PricewaterhouseCoopers is conducting then due-diligence and is instructed to report by January 15th. The Hinduja’s IndusMedia & Communications is likely to be the acquiring vehicle.
Alfacam’s impressive portfolio of OB trucks are a familiar sight at leading sporting events around the world, and the deal is seen as extending Alfacam’s presence throughout India, Asia and the Middle East.
Under the proposed agreement, Hinduja will pay off Alfacam’s debt pile of around €24 million and invest another €6 million in working capital. The past few weeks have seen Alfacam’s shareprice rise by about 50 per cent giving the company a market valuation of some €10 million. Two years ago the value was nearer €150 million.