Singapore’s state-owned investment fund Temasek is likely to pick up about 20 pc stake in visa services firm VFS Global, according to news reports.

The reports that have been circulating since Sunday say that Temasek is in advanced stages of discussions with United States asset manager Blackstone to buy the stake in a deal that may value VFS Global at USD 7 billion, excluding debt. The deal may be finalised as early as today, say the reports.

Headquartered in Zurich and Dubai, VFS Global is currently majority-owned  by Blackstone, along with the Swiss-based Kuoni and Hugentobler Foundation and EQT, a Swedish investment firm. 

The company has processed more than 294 million applications since 2001 and about 141 million biometric enrollments since 2007.

One of the options for VFS Global could include bringing in a minority investor to help raise cash and boost growth, according to sources. 

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.

Temasek is a significant investor in many Indian startups, having invested over USD 37 billion in India over the past 20 years. It is also one of the largest sovereign funds globally, with net portfolio value of USD 288 billion as of March 31, 2024.