May 18 (Reuters) - India's Jana Small Finance Bank said on Monday that industrialist Venu Srinivasan-led TVS Venu group will acquire a 9.9% stake in the lender through a mix of a primary issuance of equity warrants and a secondary share purchase.
o GWC Family Fund Investments, part of the TVS Venu group, will subscribe to warrants representing a 5.64% stake via a preferential issue priced at 464.82 rupees per warrant, amounting to 3.17 billion rupees ($32.90 million).
o The warrant issue is at a 5.3% discount to Jana's closing price on Friday.
o Separately, TVS Motor will acquire a 4.9% stake in Jana from its promoters for 1.93 billion rupees.
o Together, these transactions will take TVS's total holding to 9.9% on a fully diluted basis, Jana said.
o Jana has also approved additional warrant issuances to investors including Capri Global Ventures, Singularity Large Value Fund, and ICM Finance, taking the total issue size to 7.29 billion rupees for a 12.94% stake.
o Shares of Jana Small Finance Bank ended 5.9% lower, while TVS Motor declined 5.1%.
($1 = 96.3000 Indian rupees)
(Reporting by Kashish Tandon and Nishit Navin in Bengaluru; Editing by Eileen Soreng)
