Sugar company Triveni Engineering & Industries Ltd has acquired a 25.43% stake in Sir Shadi Lal Enterprises Ltd. for Rs 35 crore and launched an open offer to shareholders for acquiring an additional 26% stake.
Triveni Engineering is one of the leading integrated sugar producers in the country. It is also into engineered-to-order high speed gears & gearboxes and water and waste water management business.
In a statement, the company said it has acquired a 25.43% stake in SSEL.
Pursuant to a share purchase agreement executed with Vivek Viswanathan and Radhika Viswanathan Hoon on Jan. 30, 2024, the company on Monday acquired 25.43% equity stake in SSEL for an aggregate consideration of Rs 35 crore, i.e. at a price of Rs 262.15 per equity share of SSEL.
To acquire a majority stake in SSEL, the company had launched an open offer to the shareholders of SSEL to acquire up to 26% of the outstanding voting share capital at Rs 262.15 per share in cash.
"The acquisition is in line with the objective to expand its business operations in sugar and alcohol businesses," it said.
Tarun Sawhney, Vice Chairman and Managing Director, said: "This is a strategic acquisition due to synergies in both businesses." The company would look to further expand the business and drive the next growth phase of SSEL, he added.
Essential Business Intelligence, Continuous LIVE TV, Sharp Market Insights, Practical Personal Finance Advice and Latest Stories — On NDTV Profit.
