The transaction is valued at Eureka Forbes Limited (EFL) with an enterprise value of Rs 4,400 crore, subject to closing adjustments.
With presence in water purification, vacuum cleaning and other emerging categories, the company is a market leader in health and safety solutions in India.
“As per a plan of arrangement, Eureka Forbes Ltd, a 100 per cent subsidiary of Forbes & Co Ltd, will be demerged into a standalone company and then listed on BSE Ltd.
In the EFL listing, Advent will buy up to Rs 72.56 per share Percentage of the then outstanding stock of the company from SPG on a fully diluted basis,” a joint release of the companies said.
Thereafter, Advent will make an open offer in compliance with applicable regulations.
The transaction is subject to closing conditions and receipt of relevant statutory and regulatory approvals, it added.