Mahindra -; Mahindra completes acquisition of 17.41% stake in Swaraj Engines; stock zooms ~2%

28 Sep 2022 , 12:31 PM

Mahindra & Mahindra Limited informed that the company has completed the acquisition of 21,14,349 Equity shares constituting 17.41% of the paid-up equity share capital of Swaraj Engines Limited from Kirloskar Industries Limited.

Following this purchase, the Company’s shareholding and voting rights in SEL have grown from 34.72% to 52.13% of SEL’s equity share capital. Therefore, SEL has become a subsidiary of the company.

Earlier, the company stated that the acquisition is at a price of Rs1,400 per share, totalling Rs296 crore.

Swaraj Engines is a manufacturer and supplier of diesel engines ranging from 22 HP to 65 HP for use in tractors to Mahindra & Mahindra Limited’s Farm Equipment Sector.

At around 12.26 PM, Mahindra & Mahindra was trading 1.63% higher at Rs1,255.90 per piece, against the previous close of Rs1,235.75 on NSE. On the contrary, Swaraj Engines was trading 0.61% lower at Rs1,587 per piece against Rs1,596.75 on NSE.

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