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Asad Jumabhoy-led Scotts Group sells 10% stake in Fintrax

Monday, November 30, 2015 - 16:02

THE Scotts Group, an investment company led by Singapore businessman Asad Jumabhoy, has sold its minority stake in Fintrax, a major global player in processing value added tax refunds for tourists. It operates under the "Premier Tax Free" brand.

BT understands that The Scotts Group had a roughly 10 per cent stake in Fintrax, and Mr Jumabhoy will step down from his vice-chairman position in Fintrax.  

Last week, French private equity group Eurazeo said it bought 90 per cent of Fintrax from British group Exponent Private Equity, investing 300 million euros (S$448 million). The remaining 10 per cent will be held by Fintrax management.

Fintrax is valued at an enterprise value of 550 million euros with another 35 million euros payable based on 2016 performance, Eurazeo said in a press release. Enterprise value includes debt and excludes cash.

Exponent bought Fintrax for 170 million euros in 2012 and roped Mr Jumabhoy into the deal in 2013.

Marc Frappier, managing director of Eurazeo, said: "Fintrax meets all our investment criteria: a fast-growing company, leading market positions and a strong business model based on the solid megatrends of the rapid expansion of the middle classes in emerging markets, growth in international travel and increasing luxury consumption."

Mr Asad Jumabhoy is the youngest son of Ameerali Jumabhoy, former chairman of Scotts Holdings, which owned serviced apartments and was founded by Mr Ameerali Jumabhoy's father, Rajabali Jumabhoy.

In the late 1990s, Scotts Holdings was sold to a predecessor of today's CapitaLand, and the business is now part of the Ascott chain of serviced apartments.

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