Polestar advises Foreign Investor in a US$ 15.0 mn “Purchase to Settle” distressed deal


Polestar acted as a Sole Advisor to a Foreign Investor (“Investor”) to acquire a stake in a 56MW hydropower generation company (“Company”) from a leading US based Hedge Fund (“Fund”). The Company and its previous investors including Fund were in litigation at various forums bringing immense stress to the business and its valuation.

Few highlights:

  • Polestar helped the Investor negotiate a discounted purchase price from Fund in secondary trade
  • Handheld the nuances of the entire tax structuring and legal process for the acquisition
  • Worked closely with the top legal teams on the litigation strategy at NCLT, High Court and Supreme Court.
  • Helped the Investor arrive at Negotiated Settlement with the Company and its promoters
  • Helped create an Extremely Profitable Exit Structure - A win-win opportunity by growing the pie for all stakeholders with zero tax incidence.
  • Total settlement deal amounting to USD 15mn
  • Purchase to Profitable Settlement of a distressed trade in 16 months