India Motor to buy 1.54% stake of Brakes India from ZF Internation UK, for Rs70cr

India Motor's acquisition in Brakes India is according to the disinvestment steps undertaken by ZF.

Mar 23, 2021 04:03 IST India Infoline News Service

India Motor Parts & Accessories on Tuesday announced that the Board of Directors has approved the acquisition of 36,874 equity shares representing 1.54% in Brakes India, a company engaged in the manufacturing of braking systems of cars and commercial vehicles.

The company will acquire 1.54% stake Brakes from foreign promoter ZF International UK for consideration of Rs70cr.

Led by the acquisition of WABCO Holdings by ZF Friedrichshafen AG (ZF AG), Germany, the CCI directed ZF International which is a subsidiary of ZF AG, to disinvest their entire stake of 49% held in Brakes India.

That said, India Motor's acquisition in Brakes India is according to the disinvestment steps undertaken by ZF.

Thereby, India Motor would be executing a share purchase agreement with ZF International to effect the acquisition of shares subject to necessary regulatory approvals.

The transaction is likely to be completed in about four months.

On Sensex, India Motor ended at Rs703.50 per piece down by 0.8%. 

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