Emami Group has picked Arpwood Capital Ltd. and Credit Suisse Group AG to manage the sale of its cement unit.
The bankers will start reaching out to prospective buyers for Emami Cement Ltd., seeking a valuation of about $1 billion. A decision is yet to be made about the size of the stake to be sold and the group could add more managers for the deal later.
The Kolkata-based conglomerate is selling assets to pare debt as a cash crunch in Indian markets increase funding costs. In June, the founders of the group sold about 10 per cent stake in it its listed flagship Emami Ltd., to trim borrowings.
The conglomerate, which makes Boro Plus cream and herbal products under the Zandu brand, is in discussions with investors including UltraTech Cement Ltd., KKR & Co, and Temasek Holdings Pte., for selling its stake sale in the cement unit.