Minda Industries Ltd. (MIL)
has entered into a definitive agreement with shareholders of Germany-based Automotive Lamps engineering, design company & testing, Delvis Gmbh, to acquire 100% interest in the company.
The enterprise value of the company along with its two subsidiaries Delvis Solution and Delvis Products is ~Euro 21mn, subject to adjustments, if any, at closing.
The transaction is subject to customary closing conditions and other regulatory approvals. The transaction is expected to be concluded in next two months. The transaction will be funded by mix of debt and equity.
The acquisition is part of Minda's strategy to augment/acquire technological capabilities in existing product lines (Automotive Lighting).
Delvis is among the top players with state of the art lighting technology and works closely with German OEMs (VW / Audi/ Porche) in pre-development activities for high end platforms, which deploy the next level of technologies. This acquisition is expected to deliver considerable synergies for growth of lamp business in India and enhance its product offerings to OEMs.
On this occasion, Mr. N K Minda, CMD, said “The automotive lighting industry has seen a major shift in technology with the advent of LED based lighting products. While the global markets had migrated to LED 8- 10 years ago, India market is now demanding this technology. This acquisition would help us bring this gap with cutting edge technology that Delvis has to offer to global markets.”
Minda Industries Ltd ended at Rs334.20 up by Rs3.7 or 1.12% from its previous closing of Rs330.50 on the BSE.
The scrip opened at Rs331.55 and touched a high and low of Rs335.80 and Rs320.35 respectively. A total of 88,982 (NSE+BSE) shares were traded on the counter.
The current market cap of the company is Rs8,785.58cr.