Archive · 31 Aug 2026
Krishna Reddy Seeks $700 Million to Buy Uncle’s Stake
PV Krishna Reddy wants to buy the part of Megha Engineering owned by his uncle.
He already owns 57% of the company, and his uncle owns the remaining 43%.
To help pay for the purchase, he is seeking about $700 million from private credit firms.
These firms lend money directly rather than through ordinary bank loans.
Davidson Kempner Capital Management, Elham Credit Partners and Varde Partners are studying how the financing might work.
No final agreement has been reached, so the plan could still change.
If completed, it could be one of India’s biggest private credit deals in 2026.
Megha Engineering builds and manages infrastructure projects in more than 20 countries.
PV Krishna Reddy is seeking about $700 million in private credit to acquire his uncle’s 43% stake in Megha Engineering.
Krishna Reddy currently owns 57% of Megha Engineering, while Pamireddy Pitchi Reddy is the executive chairman.
Davidson Kempner Capital Management, Elham Credit Partners and Varde Partners are conducting preliminary work on possible financing.
The terms remain unsettled, and the proposed deal could become one of India’s largest private credit transactions in 2026.
Megha Engineering operates infrastructure projects across more than 20 countries and has purchased about 6.7 billion rupees in electoral bonds.
- Who
- PV Krishna Reddy, managing director and a 57% owner of Megha Engineering, is seeking financing to buy his uncle Pamireddy Pitchi Reddy’s stake.
- What
- A proposed $700 million private credit financing would support the purchase of a 43% stake in Megha Engineering.
- When
- The proposed transaction is being discussed in 2026; financing terms have not been finalized.
- Where
- The transaction concerns Megha Engineering in India, a company founded in Hyderabad with projects in more than 20 countries.
- Why
- Krishna Reddy is seeking funding to acquire his uncle’s remaining ownership stake in the company.
- Proposed financing
- Approximately $700 million from global private credit investors
- Current ownership
- Krishna Reddy owns 57% of Megha Engineering
- Stake being acquired
- The remaining 43% is held by Pamireddy Pitchi Reddy
- Potential lenders
- Davidson Kempner Capital Management, Elham Credit Partners and Varde Partners
- Deal status
- Preliminary work is underway; terms could change
- Company footprint
- Projects across more than 20 countries, including tunnels, ports, highways, water systems and power assets
- Private credit assets in India
- About $25 billion under management at the end of 2025, according to Moody’s Ratings