Texmaco Rail and Engineering Ltd. has acquired the complete stake in Jindal Rail and Infrastructure Ltd., making it a wholly owned subsidiary of the company.
Both the parties have completed all the conditions required for acquiring all of the rights, title and interest in the securities of Jindal Rail & Infrastructure from its existing shareholders—JITF Urban Infrastructure Services Ltd. and Siddeshwari Tradex Pvt.—on a fully diluted basis, according to an exchange filing on Tuesday.
Since JRIL is known for search, design, and making specialised freight wagons, this acquisition will help Texmaco boost its international product range and enhance its innovative edge, particularly in design.
Earlier in July, Texmaco Rail signed a definitive agreement with JRIL and its shareholders to acquire 100% stake in the company for a cash consideration of Rs 614 crore.
In fiscal 2024, JRIL produced over 1,650 wagons and is expected to further increase its production. It is expected to deliver around 2,000 wagons in the next 12 to 14 months, it said.
For the financial year 2024, Jindal Rail reported a revenue of Rs 750.11 crore and profit of Rs 57.37 crore.
Shares of Texmaco Rail and Engineering closed 1.15% higher at Rs 236.65 apiece, compared to a 0.01% fall in the benchmark BSE Sensex.
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