Warburg Pincus LLC is in early-stage negotiations to sell a controlling stake in Encora Digital Inc., a US headquartered Indian-origin IT services firm it owns, taking advantage of a deal spree in the sector in recent months, people in the know said. The private equity firm, which owns 80% of the company, has reached out to funds including Blackstone Inc. (NYSE:BX), Baring Private Equity Asia, KKR & Co. Inc. (NYSE:KKR), The Carlyle Group Inc. (NasdaqGS:CG), Bain Capital, LP as well as Silver Lake Management, L.L.C. (Silverlake Partners) to sell its entire stake in a deal valuing the firm at around $1.5 billion, they said.

JP Morgan has been mandated to find a buyer. Mails sent to Encora, Warburg Pincus and Bain Capital did not elicit any responses till press time October 19, 2021. Spokespeople for Baring Private Equity Asia, Blackstone, KKR, Silver Lake and Carlyle declined to comment.