Blackstone in $625m China deal

The firm will lead a group of investors to take private US-listed technology company Pactera, which is based in China.

A consortium led by The Blackstone Group will privatise NASDAQ-listed Pactera Technology, a global IT consulting firm headquartered in China, according to a statement from Pactera.

Pactera shareholders will receive $7.30 per common share, representing a 39 percent increase over the the company's closing price on May 17, the last trading day prior to the announcement of the offer, the statement said.

The deal was valued at $625 million, according to media reports.

Pactera was formed by the merger of HiSoft Technology and VanceInfo Technologies and is headquartered in Beijing. The company provides IT consulting and outsourcing services to multinational firms through a global network of locations. It reported $359 million in net revenues for the full year 2012.

Ropes & Gray represented the Blackstone-led buyer group consortium and Fangda Partners served as PRC legal advisor to Pactera.

Earlier this year, in another Asia deal, Blackstone agreed to acquire Indian auto parts maker Agile Electric Sub-Assembly and its listed subsidiary Igarashi Motors India for a combined deal value of $110 million, Private Equity International reported earlier.

The Blackstone Group is one of the largest private equity firms worldwide with about $248 billion in total group assets under management. The firm is currently investing from its sixth global fund, a $16.27 billion vehicle, according to PEI’s Research & Analytics division.