Swaraj Engines - M&M Acquires Further Stake, To Be Sole Promoter Entity: ICICI Direct

BQ Prime’s special research section collates quality and in-depth equity and economy research reports from across India’s top brokerages, asset managers and research agencies. These reports offer BQ Prime’s subscribers an opportunity to expand their understanding of companies, sectors and the economy. .ICICI Direct Report.Swaraj Engines Ltd. is involved in manufacturing diesel engines (20- 85 horsepower) for Mahindra and Mahindra Ltd.’s Swaraj brand of tractors.M&M has informed exchanges about acquisition of 21,14,349 equity shares constituting 17.41% of the paid up equity share capital of Swaraj Engines from Kirloskar Industries Ltd. for Rs 296 crore i.e. Rs 1,400 per share.Post this acquisition, M&M’s stake in Swaraj Engines will increase to 52.13% versus 34.72% earlier with Swaraj Engines now being classified as a subsidiary of M&M. With this acquisition M&M now becomes the sole promoter at Swaraj Engines.Structurally, in terms of decision making, we do not foresee any change as the top management at Swaraj Engines were all M&M veterans with automotive division head always on Swaraj Engines board. We expect Swaraj Engines’ growth to largely mirror the tractor growth at Swaraj brand of tractors at M&M, as was the case in past..Click on the attachment to read the full report:.DISCLAIMERThis report is authored by an external party. BQ Prime does not vouch for the accuracy of its contents nor is responsible for them in any way. The contents of this section do not constitute investment advice. For that you must always consult an expert based on your individual needs. The views expressed in the report are that of the author entity and do not represent the views of BQ Prime..Users have no license to copy, modify, or distribute the content without permission of the Original Owner.

Swaraj Engines - M&M Acquires Further Stake, To Be Sole Promoter Entity: ICICI Direct

Swaraj Engines - M&M Acquires Further Stake, To Be Sole Promoter Entity: ICICI Direct

Choose a plan