Mtar Tech acquires 100% stake in Gee Pee Aerospace; stock zooms ~3%

3 Jun 2022 , 10:09 AM

MTAR Technologies Limited has entered into a Share Purchase Agreement with sellers and GEE PEE Aerospace & Defence Private Limited dated June 2, 2022, for the acquisition of a 100% stake in GEE PEE Aerospace & Defence.

The consideration for such acquisition is Rs8.20 crore, payable in cash after deduction of borrowings and liabilities.

Post completion of this transaction, Gee Pee Aerospace and Defence will become the wholly-owned subsidiary of the company.

The transaction does not fall within related party transaction(s) since none of the directors or promoters or either of their relatives are interested in the entity being acquired and the transaction is at arms’ length.

The director prior to the acquisition i.e., Ghanshyam Pandey and Mrs. Pandey resigned w.e.f June 2, 2022.

At around 10.11 AM, Mtar Tech was trading at Rs1491 per piece, up by 2.63% against its previous close of Rs1452.85 on NSE. It opened at Rs1,487 and touched intraday high and low of Rs1,526.20 and Rs1,484.35 respectively.