Asian Paints to infuse Rs 19 cr for majority stake in Weatherseal Fenestration

7 Apr 2022 , 01:33 AM

Asian Paints has entered into the Shareholders Agreement and Share Subscription Agreement with the promoters of Weatherseal Fenestration Harish Munireddy and Pratibha SB and Weatherseal Fenestration for inter alia infusion of Rs 19 crore approx for 51Percentage stake by subscription to equity share capital of Weatherseal Fenestration In accordance with the Shareholders Agreement and the Share Subscription Agreement the Company has agreed to acquire further stake of 239Percentage in Weatherseal Fenestration from its promoter shareholders in a staggered manner over the next 3 years period t is also informed that out of 239Percentage stake to be acquired in Weatherseal Fenestration i 139Percentage stake would be acquired during the FY 2024 25; and ii 10Percentage stake would be acquired during the FY 2025 26 The enterprise value that would be used to compute the consideration for acquisition would be derived at a multiple of 15 times the net revenue of Weatherseal Fenestration or 15 times its EBITDA whichever is lower The revenue and EBIDTA will be based on the financial year prior to the year of acquisition Weatherseal Fenestration has been incorporated in March 2022 and would be engaged in the business of interior decorationfurnishing including manufacturing uPVC Windows and door systems