Categories: Travel

Blackstone considers selling majority stake in USD 7 billion visa firm VFS Global, ET TravelWorld


Blackstone Inc. is considering options including a sale of its majority stake in visa outsourcing and technology services firm VFS Global after receiving interest from prospective investors, people familiar with the matter said.

The US alternative asset manager has held preliminary discussions with advisers to evaluate a full or partial stake sale in VFS, the people said, asking not to be identified because the matter is private. A potential transaction could value VFS at about USD 7 billion, the people said.

One of the options could include bringing in a minority investor to help raise cash and boost growth, the people said. Firms including sovereign wealth funds have shown interest in investing in the asset, the people said.

Considerations are at an early stage and Blackstone may still decide against pursuing a deal, they said. A representative for Blackstone declined to comment.

Etihad Airways, owned by ADQ, plans to debut on the stock market no sooner than 2025. The airline aims to present strong financial results for 2024 and has been expanding under CEO Antonoaldo Neves. The IPO would be a significant move as Abu Dhabi enhances its role as a global travel hub.

VFS Global, headquartered in Zurich and Dubai, provides governments with administrative solutions for processing passport applications and visa consular services, according to its website. The company has processed more than 294 million applications since 2001 and about 141 million biometric enrollments since 2007, it said.Blackstone bought a majority stake in VFS from EQT AB for an undisclosed amount in 2022, with the Swedish investor retaining a minority stake in the business along with the Kuoni and Hugentobler Foundation.

  • Published On Sep 15, 2024 at 04:00 PM IST

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