Auto parts maker Pricol will complete its million-dollar acquisition of Brazilian firm Mellin do Brasil by January 23, its managing director Vikram Mohan told NDTV.
"It will be in a single digit millions of dollars and the transaction is getting closed on the 23rd of January, so the numbers are being calibrated as we speak, the final closure numbers," Mr Mohan said. (Watch)
Mellin manufactures oil and water pumps for auto companies like General Motors, Volkswagen, Fiat, and Harley Davidson. Pricol is a manufacturer of automotive instruments and precision engineering products.
The acquisition will be made through Pricol's wholly owned subsidiary incorporated in Spain.
Pricol's list of clients include the likes of Maruti Suzuki, Honda, Yamaha, Hero Motors, Royal Enfield, Tata Motors and Toyota.
Pricol is bullish on Mellin's performance going forward on the back of a healthy order book.
"The company was making profits, last year it underwent a small loss, this year they are back to breaking even and the outlook looks very good because, there is a very healthy order pipeline for the next couple of years," Mr Mohan said.
Last year Mellin clocked a revenue of Rs 300, and is expected to report a similar figure this year, he said.
Pricol's standalone net profit rose nearly 167 per cent to Rs 9.55 crore in the September quarter compared to the corresponding quarter, a year ago.
On Friday, Pricol shares jumped as much as 11 per cent to an intraday high of Rs 47.45. The scrip outperformed the broader Sensex and the Nifty which were trading in the red.
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