Jyothy Laboratories has raised Rs. 550 crore ($110 million) through a 5-year-loan from Axis Bank to refinance part of the existing debt it incurred to acquire a controlling stake in the Indian unit of Henkel AG.

AZB & Partners advised Axis Bank with a team led by Partner Ashwin Ramanathan along with Associate Kumarjit Ray.

Last year in May, Jyothy Laboratories had acquired 51 percent stake in Henkel AG's Indian subsidiary for Rs. 570 crore.

Jyothy had raised short term debt from ICICI Bank, Kotak Mahindra Bank and Axis Bank to pay for the acquisition.

According to VCCircle, the loan, which has a floating interest rate of 11.25 per cent, has a principal moratorium period of 18 months.

The company had initially intended to raise funds through a private equity deal, but has put that plan on hold because of poor market conditions

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