With reference to the earlier announcement dated July 13, 2011 regarding the board of directors of the Company has in principle approved the proposal to (jointly with Samvardhana Motherson Finance Ltd.) acquire 80% of the shareholding of Peguform Group, Germany from Cross Industries AG. The acquisition would be made through a Joint Venture in which Motherson Sumi Systems Ltd. would hold 51% and Samvardhana Motherson Finance Ltd. would hold 49% share, Motherson Sumi Systems Ltd has now informed BSE about the following further information which is given as hereunder:- The Company has, through its subsidiary, executed binding agreement with Cross Industries for acquiring 80% stake in Peguform GmbH and Peguform Iberica, SL together with 50% stake in Wethje Entwicklungs GmbH and Wethje Carbon Composite GmbH. The deal is expected to be completed by end of September 2011, by which time all closing conditions including regulatory approvals as applicable, are expected to be received. The total share consideration for this transaction is Euros 141.5 million, of which MSSL share shall be Euro 72.165 million. MSSL proposes to raise loan overseas to finance this transaction. ICICI Bank Ltd. is the mandated lead arranger for financing the entire transaction. The key financials of Peguform Group for the calendar year 2010 are: Revenues: Euro: 1,355.53 million EBITDA: Euro 66.87 million. Profit after tax: Euro 6.8 millions. Net debt as on 31-12-2010: Euro 166.50 million. In this regard, the Company has issued a copy of Press Release.
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