Amber Group Arm ILJIN Electronics To Raise Rs 1,200 Crore From Private Equity Investors

Amber Enterprises India Ltd. arm ILJIN Electronics (India) Pvt. will secure investments worth Rs 1,200 crore from four private equity firms to fund organic and inorganic growth of the electronics segment of the company.

Raptor Investments Ltd., Two Infinity Partners, InCred Group and Chryscapital signed definitive agreements with Amber, ILJIN Electronics and Hyun Chul Sim, according to a stock exchange filing on Sunday.

Under the terms of deal, ILJIN has agreed to allot equity shares and compulsorily convertible preference shares to the investors. CCPS conversion will happen at mutually agreed price between the parties at the time of conversion, the filing said.

The investors collectively will have the right to nominate one non-executive director on ILJIN’s board and have standard pre-emptive rights and other rights which are customary to this type of transaction.

Amber is the holding company and promoter of ILJIN. As on the date of execution of the definitive transaction agreements, Amber holds 90.22% of the total paid-up equity share capital of ILJIN. Following the investment, Amber's shareholding will reduce.

ILJIN Electronics specialises in high-precision electronics manufacturing services across smart electronics, automotive, consumer durables, telecom, healthcare, industrial, renewable energy, aerospace and defence sectors. It manufactures printed circuit boards along with embedded software and final assembly.

Shares of Amber Enterprises closed 1.37% higher at Rs 7790.85 on the BSE on Friday, compared to a flat Sensex. The stock has risen 72% in the last 12 months and just 1.6% so far this year.