AGC Networks zooms 5% after its subsidiary plans to acquire Dragonfly Technologies

This will give rise to an opportunity to cross sell to the current customers.

Sep 13, 2021 09:09 IST India Infoline News Service

AGC Networks Ltd has informed that Black Box Technologies Australia Pty Limited, Indirect Wholly-Owned Subsidiary of the Company has entered into a Share Purchase Agreement with KAK Nominees Pty Ltd (Seller 1), Cylaiako Nominees Pty Ltd (Seller 2) and CTA Consulting Pty Ltd (Seller 3) on September 10, 2021, to acquire 100% of shares of Dragonfly Technologies Pty Ltd (“Target Company being limited liability company incorporated under laws of Australia") for total consideration of approx AUD 7.43 mn.

Approx. AUD 3.72 million payable at the time of closing and AUD 3.72 million in next 3 years from closing in the form of earn-out for purchase of 100% equity; said company in a regulatory filing.

Accordingly, Dragonfly Technologies is into the business of providing Cyber Security Solutions, Enterprise Networking Solutions and Automation & Consulting services.

The said acquisition is anticipated to be completed within 90 days of signing the share purchase agreement subject to approvals from Foreign Investment Review Board (FIRB).

This acquisition will help the Company to strengthen its presence in Australia and also add cybersecurity capabilities to offer wider range of services to our customers.

This will also give rise to an opportunity to cross sell to the current customers.

At around 9:25 AM, AGC Networks was trading at Rs1,219.15 apiece up by 5% on Sensex.

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