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Saga of first Hostile Takeover in Information Technology Sector

12 days ago  
Business / Blogs/ M&A Critique  
In ordinary parlance, a hostile takeover shall imply the acquisition of Target Company by the Acquirer which is accomplished by going directly to the company's shareholders or fighting to replace management to get the purchase approved. A hostile takeover can be achieved through either an open offer or a proxy fight. There have been very few instances of hostile takeover in our country. Of late, the biggest tussle in the power of control is being witnessed in the Information Technology sector wherein Mindtree Ltd deploying all resources and tactics to fight tooth and nail to fend off L&T takeover attempt. It will be the first-ever hostile takeover move in India's technology industry for a publicly traded company. One could say that life has come full circle for Mr A.M. Naik, Current Group Chairman of the L&T who had battled with both Reliance and Birla Groups to thwart a hostile takeover bid for L&T  in the early 2000s. The tables have turned around by L&T with a ..
                 

Hitting four birds with one Bullet: Bandhan Bank and Gruh Finance merge

one month ago  
Business / Blogs/ M&A Critique  
A new entrant in the banking space, Bandhan Bank has acquired HDFC Ltd-promoted Gruh Finance in an all-share deal. On January 7, 2019, the board of directors of Bandhan Bank and Gruh Finance approved the merger subject to regulatory and shareholder approvals. The merger will reduce the promoter stake in Bandhan Bank to 61%, from 82.3% as a first step towards finally reducing to 40% as directed by Reserve Bank of India (RBI) based on norms for holding of promotors in private sector bank. The RBI’s new licensing guidelines stipulates that Bandhan Bank’s promoter will have to reduce stake from 82% to 40% within three years, to 20% within 10 years and to 15% within 12 years of commencing its business. Post-merger, HDFC Ltd will hold 15% stake in the merged entity. Gruh Finance was incorporated on July 21, as subsidiary of Housing Finance Development Finance Corporation (HDFC). Gruh Finance has reported strong financials. Gruh Finance has been growing well with 20% loan and profit CAGR over..
                 

Linc Pens goes for group level restructuring

one month ago  
Business / Blogs/ M&A Critique  
It would be safe to assume, that we have used product from this company listed in 1994 but started almost 40 years ago. Linc Pen and Plastics Ltd. (LPPL) is listed company is engaged in the manufacturing and distribution of Pens and related products for domestic as well across 50 countries. They also have exclusive tie-ups with Mitsubishi Pencil Co., Japan for their Uni-ball brand. Linc Writing Aids Pvt. Ltd. (LWAPL) is an unlisted company, incorporated in June 1984,  engaged in the trading and business of stationary and crockery.  LWAPL also holds 10.78% equity stake in LLPL & 19.31% equity stake in LRL. LWAPL having two Business undertaking Showroom BusinessOther Business The Showroom Business includes stock in trade, stake in LRL and the other business mainly include stake in LLPL and some Land & Buildings. Linc Retail Limited (LRL) is engaged in retail trading business of stationary. The Transaction..
                 

Datamatics demerges e-Retail & Digital publishing services

one month ago  
Business / Blogs/ M&A Critique  
In a move to list E-Retail & Digital Publishing segment, the Board of Directors of Datamatics Global Services Limited has decided to demerge its E-Retail & Digital Publishing business carried by its subsidiary Lumina Datamatics Limited after merging it. Datamatics Global Services Limited (DGSL) builds intelligent solutions for data-driven businesses to improve their productivity and customer experience. The Company portfolio spans across Information Technology Services, Business Process Management, Engineering Services and Big Data & Analytics, which are powered by Artificial Intelligence. The Company also has established products in Robotics Process Automation, Advanced Analytics, Business Intelligence and Automated Fare Collection.  Equity Shares of DGSL are listed on BSE & NSE. Lumina Datamatics Limited (LDL) is engaged in the business of providing e-retail and digital publishing services in content transformation, e-books and new media, rights and permission, Q..
                 

Gujarat Fluorochemicals demerges Chemical Business

2 months ago  
Business / Blogs/ M&A Critique  
Gujarat Fluorochemicals Limited (GFL) is a part of INOX Group, a family owned, professionally managed business group, with market leadership in diverse businesses including Industrial Gases, Refrigerants, Chemicals, Cryogenic Engineering, Renewable Energy and Entertainment. Further, through investments in its subsidiaries, the Company is also engaged in Wind Energy, Wind Farming, Entertainment and other businesses. GFL along with Its subsidiaries operates in the chemicals business along verticals such as refrigerant gases, fluoropolymers, commodity chemicals and speciality Fluro intermediates. It is engaged in manufacturing of chloromethanes, refrigerants and Polytetrafluoroethylene (PTFE) in India and caters to clients across the globe. GFL USA operates in the US market and is primarily engaged in the manufacture, trading and sale of Post Treated PTFE Compounds. GFL Singapore has been set up to carrying the group’s investment activities. GFL Germany operates in the European markets an..
                 

Kesoram Industries to Demerge its Tyre Unit

2 months ago  
Business / Blogs/ M&A Critique  
Kesoram Industries (KIL), a flagship company of the B. K. Birla group, is as old as its current chairman. It started its business from Cotton Mills then Rayon and eventually into Tyres and cement. Currently  it is engaged in three distinct lines of business namely: Manufacturing & Distribution of cement through its “Birla Shakti” brandManufacturing & Distribution of Automotive tyre through its brand name “Birla Tyres”.Rayon Business through its wholly owned subsidiary, Cygnet Industries Limited. KIL’s cement business is located near the limestone deposits of Sedam and Basantnagar, having a total combined capacity of 7.25MTPA. Birla Tyres Limited (BTL), was incorporated in 2018, to takeover the tyre business. Earlier Transaction As a part of a debt restructuring exercise, the Company re-organised the Tyre Business during the Financial Year 2014 - 15. The company sold its one of the two tyre manufacturing facilities to JK Tyres. The manufacturing facility at Laksar, Distric..
                 

SKIPPER DEMERGES POLYMER BUSINESS FOR POTENTIAL GROWTH

3 months ago  
Business / Blogs/ M&A Critique  
Skipper Limited (Skipper), incorporated in 1981, is the largest manufacturer of Transmission & Distribution Structures in India with engineering and manufacturing facilities in Eastern India. The company takes advantage of the available power and steel supply, the cost-effective labour, and proximity to ports. It has four state-of-the-art manufacturing plants in this region, two in Jangalpur; one in Uluberia near Kolkata, West Bengal; and one in Palasbari, near Guwahati). The Guwahati plant commenced operations in March 2017 and aims to tap the growing demand for T&D products in the North East region. The total installed capacity of Engineering products now stands at 265,000 MT. The company’s Polymer Product Segment has a manufacturing capacity of 51,000 MTPA. Over 70% of the gross block is less than six years old, and Skipper is one of the very few companies in India to be assured of CPVC for the manufacture of state-of-the-art pipes. Skipper is the only Company in the sector ..
                 

Gloster restructuring not in line with its name

4 months ago  
Business / Blogs/ M&A Critique  
Last year Gloster Limited (Gloster) announced the group re-structuring where Gloster got merged with Kettlewell Bullen & Company Limited (KBC) subsequently the name was changed to Gloster Limited. Gloster Limited is engaged in manufacturing and exporting of all types of Jute & Jute allied products, Woven & Non-Woven Jute Geotextiles, Treated Fabric-Rot Proof, Fire Retardant, jute products for Interior Decoration and Packaging of Industrial and Agricultural produce. Company’s two manufacturing units are situated at Bauria, West Bengal. KBC, a promoter group company, was NBFC holding 17% stake in Gloster. Other than Gloster, it was holding shares of few listed & unlisted companies. The Transaction In 2016, the management has decided to merge its listed entity Gloster into unlisted KBC.  The appointed date for the transaction was 1st January 2015. Post-Merger, the name of the KBC changed to Gloster Limited. Further, all cost related to the merger like stamp duty, con..
                 

RHI Magnesita consolidates India operations with ORIENT

6 months ago  
Business / Blogs/ M&A Critique  
RHI Magnesita Group, a leading global supplier of the high-grade refractory product, systems and services has a presence in India through its acquired listed entity Orient Refractories and two other unlisted companies. The group has decided to consolidate its refractories business in India. Orient Refractories Limited (Orient) is in the business of manufacture and marketing of refractory products, systems and services and has various global partners for its international quality products In 2011, Orient Abrasives Limited demerged its refractory business into Orient. In January 2013 RHI Acquired 43.6% share capital of the Orient and further 26% via open offer. The transaction price for 69.6% totalled approximately INR 360 cores. RHI India Private Limited (RHI India), incorporated in 2007 is a subsidiary of Dutch Brasil Holding B.V., which is ultimately owned by RHI Magnesita N.V. RHI India is engaged in the business of purchase, sale, import, export and marketing of refractories, ref..
                 

PPL merger with PEL: Big Brother is watching!

7 months ago  
Business / Blogs/ M&A Critique  
Piramal Phytocare Ltd (erstwhile Piramal Life Sciences Ltd) was engaged in the two business activities NCE Research Activity and Herbal business activity. However, NCE research activity was demerged to Piramal Health Care (Now Piramal Enterprises Ltd) through a scheme of arrangement in December 2011 for approx. ₹196 crores. Post demerger Piramal Phytocare continued with its remaining business of Herbal products till date.  Since Piramal Phytocare is running into losses since past 5 years, Piramal Enterprises post-merger will absorb the losses of herbal business. Piramal Enterprises Ltd (PEL) is engaged in the business of pharmaceuticals, including research and development, financial services and information management through its subsidiaries. The product portfolio of the company is: Piramal Pharma Financial Services Healthcare Insights and Analytics The Company offers its products under brands, including Saridon, Lacto Calamine, i-pill/i-know, Polycrol, Tetmosol, Unto..
                 

LIC bails out IDBI Bank

8 months ago  
Business / Blogs/ M&A Critique  
The government in its zeal to address twin problem of divestments and fiscal deficit and at the same time exiting some loss making PSU which are cash guzzlers and value destroyers ; comes out with innovative idea . here LIC becoming the core promotor of IDBI Bank is commercial decision or just mean to address above two problems only time will prove. If LIC by putting professional management team can create structure which capture capabilities of both the organization i.e. IDBI branch network and its employees and utilization huge cash generated on daily basis by LIC by grating higher returns than what LIC could make now. Nudged by the government, the insurance regulator (Insurance Regulatory and Development Authority of India) gave its approval to state-owned behemoth Life Insurance Corporation (LIC) of India to increase stake in the debt-ridden IDBI Bank from the current 10% to up to 51%. The decision has been severely criticised by several sections including employees of ..
                 

Merger of four loss-making PSU banks on the cards

9 months ago  
Business / Blogs/ M&A Critique  
To order to bring in efficiency in the functioning of loss-making public-sector banks (PSBs), the government is considering merging at least four such banks because of rising bad loans. The four banks are Oriental Bank of Commerce, Bank of Baroda, Central Bank and IDBI Bank with a combined loss of Rs 21,646 crore in FY18. In fact, barring Bank of Baroda, all the three banks are under Reserve Bank of India’s Prompt Corrective Action, a mechanism to maintain sound financial health of the banks. If any bank comes under the RBI’s Prompt Corrective Action, it cannot distribute dividends, remit profits and disburse fresh loans. Between the four banks, their gross bad loans or non-performing assets add up to nearly Rs 1,75,000 crore. Even Bank of Baroda, which is not under RBI’s Prompt Corrective Action, made a loss of Rs 3,342 crore in March 2018. Also, IDBI Bank has a gross NPA of over Rs. 55,000 crores at last count, which constitute 28 per cent of its total advances. This means more than..
                 

AMPL and Paisalo becomes one entity

10 months ago  
Business / Blogs/ M&A Critique  
Paisalo Digital Limited Paisalo Digital Limited (Paisalo) is a Non-Deposit Taking Systemically Important Non-Banking Finance Company (ND-SI-NBFC) engaged in lending to individuals, SSIs, SMEs and other manufacturing, trading and service sector entities/ organisations for income generation activities. The shares of the company are listed on BSE, NSE and Depository Receipts on Luxembourg Stock Exchange. Earlier this year, the company changed its name from S.E. Investments Limited to Paisalo Digital Limited. Agarwal Meadows Private Limited Agarwal Meadows Private Limited (AMPL) is Delhi based company, engaged in the business of renting of commercial property. Substantial stake of AMPL is held by promoter entity of Paisalo. Proposed Transaction The Board of Directors of the company in their meeting held on February 23, 2018 approved the scheme of Amalgamation of AMPL with Paisalo. Appointed date for the transaction is closing hours of December 31, 2017. Swap Ratio Paisalo wi..
                 

Network18 merges all subsidiaries under one umbrella

11 months ago  
Business / Blogs/ M&A Critique  
IBN18 Broadcast Ltd (TV18), based in India, is in the business of broadcasting, telecasting, relaying and transmitting general news programmes. It has general news channels in Hindi, English and other regional languages and business news channels in Hindi, English and Gujarati. Network18’s listed subsidiary TV18 owns and operates the largest network of channels – 53 in India spanning news and entertainment. The market cap of the company is Rs 11,015 crore. Equator Trading Enterprises Pvt Ltd (Equator) is a wholly-owned subsidiary (WoS) of TV18 and a holding company of Panorama Television Pvt Ltd. The principal activities of the company are to carry on the business of trading, financing, investment and trading in shares. TV18 acquired Equator in 2012, as per the letter of offer following were the terms of the deal: RVT Media Pvt Ltd (RVT Media) is engaged in broadcasting, telecasting, transmitting or distributing in any manner, any audio, video or other programmes or software, trading..
                 

GSK giving a boost to HUL in an all equity merger!

3 months ago  
Business / Blogs/ M&A Critique  
Hindustan Unilever outruns Nestle and bags GSK’s nutrition business in its kitty. This being the country’s biggest consumer goods deal is an all equity deal. Hindustan Unilever Ltd (HUL), incorporated in 1933 and is a subsidiary of Unilever, one of the world's leading suppliers of Food, Home Care, Personal Care and Refreshment products. Unilever has over 67% shareholding in HUL. HUL is India's largest fast-moving consumer goods company with a heritage of over 80 years in India. HUL operates in four business segments, they are: Personal care includes products in the categories of oral care skin care, soaps, hair care, talcum powder and colour cosmetics.Home Care includes detergent bars detergent powdersFoods & RefreshmentsWater purifier called Pureit The shares of HUL are listed on BSE and NSE and current market cap is ~₹3,86,076 Crores. GlaxoSmithKline Consumer Healthcare Ltd (GSK), is one of the largest players in the Health Food Drinks industry in India. The company is an Indian ..
                 

Alembic goes for demerger

4 months ago  
Business / Blogs/ M&A Critique  
Alembic Ltd (Alembic), incorporated in 1907, is part of Alembic group and it is engaged in the business of manufacturing and trading active pharmaceutical ingredients (API) and Real Estate Developments. It also has investment in Alembic Pharmaceuticals Limited (APL). Shreno Limited (Shreno), incorporated in 1944, is engaged in the business of manufacturing and trading of glassware items, machinery and equipments (engineering) required for various industries, making investments and real estate developments. Nirayu Pvt. Ltd. (Nirayu), incorporated in 1971, is currently holding investment in shares and securities of various entities. Current Shareholding of the companies Please Note: 1% OCPS of Shreno limited of book value Rs. 8.71 crores were converted in equity shares by alembic Limited in FY 2018 Therefore the final total investment by Alembic in equity is Rs. 35.13 crores. Alembic acquired 55% stake in Alembic City Limited resulting into WOS of the company with Tot..
                 

Merged Lux – from For Men to for family

4 months ago  
Business / Blogs/ M&A Critique  
The Board of Directors of Lux Industries Limited have approved the scheme of merger of its group entities J. M. Hosiery & Co. Limited and Ebell Fashions Private Limited with Lux Industries Limited. Lux Industries Limited (Lux), incorporated in 1995 is one of the largest players in the hosiery business in India. Products include Men’s, Women’s & Kids Innerwear, Winterwear, Socks & Slacks for Women in varied colours and designs. LUX has a presence across the globe with exports to 47 countries. J.M Hosiery & Co. Limited (JM) is engaged in the business of manufacturing, marketing, selling and distribution of knitted apparel including hosiery. The Manufacturing unit of the company is in Tiruppur in the state of Tamil Nadu. Ebell Fashions Private Limited (Ebell) is engaged in the business of manufacturing, marketing, selling and distribution of knitted apparel for women’s. The Manufacturing unit of the company is in Dankuni, Kolkata. Transaction The prime rationale behin..
                 

Excel Crop Care merger with Sumitomo Chemical India will be like house of fire!

6 months ago  
Business / Blogs/ M&A Critique  
In June 2016, the promoter group of Excel Crop Care Ltd, the Shroff family, had entered into a definitive agreement to sell its 24.75% stake in the agro-chemicals firm to Sumitomo Chemical Company Ltd for ₹343 crore, Sumitomo Chemical also acquired around 19.98% in Excel Crop from private financial services firm Ratnabali Group (Public Shareholder of Excel Crop Care) for around ₹ 263 crore. These deals were struck at ₹1,259.36 a share, thus valuing Excel Crop at around ₹1,386 crore. Moving on, Sumitomo Chemical Company (PAC) made an open offer to buy additional 30% stake in Excel Crop care through its Indian WoS Sumitomo Chemical India Private Limited, in which actuals were amounting to ₹277.29 Crore resulting in acquisition of 19.98% stake of ₹5/- per share at a premium of ₹1254.76. Excel Crop Care Limited (ECCL) was incorporated in the year 2003 from a demerger of the agricultural inputs portfolio of Excel Industries Limited with the strength of three manufacturing units at Bhavnag..
                 

Mahindra’s CIE deal catapults it into the global arena

8 months ago  
Business / Blogs/ M&A Critique  
The journey of Mahindra and CIE Automotive that began in 2013 is a well thought out and superbly executed strategy to become a global leader in auto components space. There was no dilution in equity or any fresh fund infusion by either group. Mahindra group got added synergy by having dependable global supplier having manufacturing facilities in various countries for its passenger vehicles, commercial vehicle and off-market vehicles. In 2013, the agreement between Mahindra's automotive component businesses and CIE Automotive was signed through which CIE invested in Mahindra CIE Limited (MCIE or earlier Mahindra Forgings Limited) and Mahindra & Mahindra invested in CIE. The deal was nothing but the merger of ambitious plans of both the entities to spread its wings. In this article, we have tried to analyse the where MCIE stands today? Whether the deal was truly accretive for all the stakeholder? Background of the deal The Mahindra Systech (Systech) was established in 2004 by t..
                 

Indus Towers: World’s largest tower company: Forced Exit by Idea & Providence?

9 months ago  
Business / Blogs/ M&A Critique  
Bharti Infratel, incorporated on November 30, 2006, is India's leading provider of tower and related infrastructure and it deploys, owns and manages telecom towers and communication structures for various mobile operators. The company has a consolidated portfolio of over 91,000 telecom towers which includes over 39,000 of its own towers and the balance from its 42% equity stake in Indus Towers. The three leading wireless telecommunications service providers in India by revenue -- Bharti Airtel Vodafone and Idea Cellular -- are the largest customers of Bharti Infratel. The company has market share of 9.8% and in terms of company Co locations 11.6%. Indus Towers is an independently managed company offering passive infrastructure services to all telecom operators and other wireless services providers such as broadband service providers. Incorporated in November 2007, Indus Towers Limited has been promoted under a joint venture between entities of Bharti Infratel Limited Vodafone India an..
                 

UltraTech acquires Century Textiles’ cement business

10 months ago  
Business / Blogs/ M&A Critique  
The Board of Directors of Century Textiles and Industries Limited (Century) had approved a Scheme of Arrangement between the Century, UltraTech Cement Limited (UltraTech), and their shareholders and creditors for the demerger of its cement division into UltraTech. Ultratech, a part of Aditya Birla Group, is the largest manufacturer of grey cement, Ready Mix Concrete (RMC) and white cement in India. It is also one of the leading cement producers globally. UltraTech Cement has 19 integrated plants, one clinker plant, 25 grinding units and seven bulk terminals. Its operations span across India, UAE, Bahrain, Bangladesh and Sri Lanka. UltraTech Cement is also India's largest exporter of cement reaching out to meet the demand in countries around the Indian Ocean and the Middle East. Century incorporated in 1897 as a Public Limited Company the company operated only one cotton textile mill at Mumbai till 1951. Thereafter, it has expanded and diversified its activities. Currently, Century ha..
                 

Inorganic push instrumental to Accenture’s growth

11 months ago  
Business / Blogs/ M&A Critique  
Information technology giant Accenture has taken the acquisition route to spur growth. In the last five years, the company had spent around $3.5 billion to make over 70 buyouts. To put that in perspective, the total amount spent on acquisitions by Accenture is more than the two IT biggies, Infosys and Wipro Ltd put together, had spent on acquisitions. The acquisitions done by Accenture are by no means a small feat as it requires a well-oiled M&A system to drive so many acquisitions and ensure smooth integration to deliver value. How buyouts spur growth Ireland-based Accenture’s spate of acquisitions of companies such as analytics and cloud computing has helped to outpace growth. The listed company, which follows a September-August fiscal, is likely to report 6.7% dollar revenue growth in the year to August 2018. The aggressive acquisition model of Accenture is driven by Fortune 1000 clients demanding from the IT vendors solutions that help them run their business better. In fac..
                 

Sandur Consolidating business by merging subsidiary

11 months ago  
Business / Blogs/ M&A Critique  
Sandur Manganese and Iron Ores Limited (SMIORE) is a well-established company, incorporated in 1954, engaged in the business of exploration, prospecting and mining of manganese ore, iron ore and also, manufacture of ferroalloys. It is currently operating in Ballari district of Karnataka. The equity shares of the company are presently listed on BSE and in process of listing on NSE. Star Metallics and Power Private Limited (SMPPL) is a subsidiary of SMIORE who is currently holding 80.57% stake in the company. SMPPL has a ferroalloy plant with two furnaces and a 32 MW thermal power plant which is used as a captive unit for its ferroalloy operations and is operating at Hosapete Taluk of Ballari district. Under a Facility Lease Agreement, SMPPL has leased out both the ferroalloy plant and thermal power plant to the Transferee Company for a tenure of three years which is due to expire on January 31, 2019. Transaction SMIORE amalgamating its subsidiary company SMPPL with itself with..
                 

Centre’s disinvestment boost: PFC to buy REC

3 months ago  
Business / Blogs/ M&A Critique  
In order to meet the disinvestment target of ₹80,000 crore for this financial year, the Cabinet Committee on Economic Affairs has given an in-principal approval for the strategic sale of 52.63% stake in Rural Electrification Corporation (REC) to Power Finance Corporation (PFC) along with transfer of management control. The proposed deal is likely to fetch the government around ₹15,000 crores and after the closure of the deal, REC will become a subsidiary of PFC. The proposed deal is similar to the one where Oil and Natural Gas Corporation (ONGC) acquired the government's entire 51.11% stake in oil refiner Hindustan Petroleum Corporation last year for nearly ₹37,000 crores. The upstream state-owned oil behemoth financed the deal with market borrowing of ₹25,000 crores. Also, the proposed deal will be along the lines of government's idea to create large public sector companies by consolidating companies based of common factors and functions. In an otherwise stressed sector, both REC a..
                 

Merger of Delta Magnets, Arrow Textiles & MMG India to form Delta Manufacturing

4 months ago  
Business / Blogs/ M&A Critique  
On 19th September Delta Magnets Ltd announced the merger of Arrow Textiles Ltd and MMG India Private Ltd with Delta Magnets Ltd. Post-merger the name of Delta Magnets Ltd will change to Delta Manufacturing Limited.  Delta Magnets Ltd (DML) started commercial production in 1986 and is one of the leaders in the hard ferrite industry, GPEL's clientele includes Philips, BPL, Bush (in the audio electronics industry), Bajaj Auto and Lucas-TVS (in the automobile equipment industry). DML has two wholly-owned subsidiaries and one step-down wholly-owned subsidiary: MMG India Private Limited which is into manufacturing of Soft Ferrites Magdev Limited which is into Trading of Ferrites Pilamec Limited (Step-down Subsidiary) - Trading of Ferrites MMG India Private Limited (MMG) is primarily engaged in the business of manufacturing of soft ferrites and coil winding. Arrow Textiles Ltd (ATL) is the leading manufacturer of the specialty textiles in India. The company manufactures wove..
                 

Can Mukand achieve sustained growth?

5 months ago  
Business / Blogs/ M&A Critique  
MUKAND LTD (ML), incorporated in the year 1937, was acquired by the present promoter families, Shri Jamanlal Bajaj and Shri Jeevan Lal Shah, on the behest of Mahatma Gandhi in the year 1939. The Company then operated re-rolling mills and a foundry in Lahore and at Reay Road, Bombay respectively. The Company was rechristened Mukand Ltd. in the year 1989 and had grown to become a multi division, multi product conglomerate *Please Note: The company also have various WOS and Associates which has been recorded as zero value due diminution of value. It also has a captive power generation plant with a capacity of 15MW. Apart from the core assets, Mukand has a large land bank in the industrial area of Thane. MUKAND ENGINEERS LIMITED (MEL), incorporated in 1987, offer services in areas of engineering construction including feasibility studies, planning, procurement, construction, erection and commissioning of projects across industries such as petrochemicals, oil exploration and refineries..
                 

Aarti Industries: The Right Chemistry for a Bright Tomorrow

7 months ago  
Business / Blogs/ M&A Critique  
The Aarti Industries Limited announced to separate its small business vertical and to merge one of its subsidiaries’ tiny manufacturing unit with itself. The move seems in the direction of concentrating on its core business verticals and to develop other “Strategically unfit” business verticals separately. Aarti Industries Limited (AIL) is one of the most competitive benzene-based speciality chemical companies in the world. AIL has 125+ products, 500+ domestic customers, 150+ export customers spread across the globe in 60 countries with a major presence in USA, Europe, Japan. AIL serves leading consumers across the globe of Speciality Chemicals and Intermediate for Pharmaceuticals, Agro Chemicals, Polymers, Pigments, Printing Inks, Dyes, Fuel additives, Aromatics, Surfactants and various other speciality chemicals. Currently, the company has three main divisions. Speciality Chemicals, Pharmaceuticals and Home & Personal Care. Past-Transactions The Transaction..
                 

Wipro: Consolidating its Foreign Businesses under one Roof

8 months ago  
Business / Blogs/ M&A Critique  
In April this year, Wipro Limited decided to merge its wholly owned subsidiaries, which it acquired from NewLogic Technologies group in 2005 with itself. Wipro Limited (Wipro), is a leading global information technology, consulting and business process services company. The company harnesses the power of cognitive computing, hyper-automation, robotics, cloud, analytics and emerging technologies which help clients adapt to the digital world. The company is globally recognized for its comprehensive portfolio of services and has 160,000 dedicated employees serving clients across six continents. Wipro Information Technology Austria Gmbh (WIT), is a wholly owned subsidiary of Wipro Holdings UK Limited incorporated and domiciled in Austria. The company is engaged in the business of acquisition, holding and disposition of participation in other enterprises. The company's ultimate holding company is Wipro Limited. Wipro Technologies Austria Gmbh (WT), based in Feldkirch, Austria, designs an..
                 

P&G acquires Merck’s Consumer Healthcare Business

9 months ago  
Business / Blogs/ M&A Critique  
MERCK LIMITED (MERCK INDIA), formerly E. Merck Limited, was set up in India as Merck’s first Asian subsidiary in 1967.  The company operates both its pharmaceuticals and chemicals businesses in the country.  Merck was also the first Merck Group Company to go public in the year 1981. The company, as of June 2013, has nearly 1550 employees across its Corporate, Pharmaceuticals and Chemicals business with its manufacturing plant in Ponda, Goa commenced in 1983. Spread across nearly 150,000 sq. m., it has facilities for pharmaceutical as well as chemical manufacturing. In addition to manufacturing injectables and soft gel capsules, Merck India is also the largest manufacturer of Vitamin E in the country. The biopharma, performance materials and life science (BPL) business of the Company, whose operations solely comprise of (i) the manufacture and trading of prescription medicines for the treatment of cardiovascular disorders, diabetes and thyroid disorders; (ii) trading of effect pigments..
                 

Amarjyot-Valiant Organics: Consolidation to Grow

10 months ago  
Business / Blogs/ M&A Critique  
Valiant Organics Ltd. (VALIANT) was established in the year 1985 under the name of Valiant Chemical Corporation, with a single product, viz., meta chloroaniline. The company was the major manufacturer of the same in India till 1999. Later, the company expanded its product range to include chlorophenols, a chemical mainly used as intermediates in pharmaceuticals, pesticides, disinfectants, anti-bacterial and veterinary. Currently, Valiant Organics Ltd. is one of the major suppliers of chlorophenols in India and abroad. Valiant Organics' production site is situated at Sarigam Industrial Estate in Gujarat. Amarjyot Chemicals Limited (ACL) is one of the leading manufacturers and suppliers of speciality chemicals. It is headed by first generations of technocrats. Amarjyot plants are located at Vapi, Jhagadia and Ahmedabad in Gujarat. ACL produces Ammonolysis, Hydrogenation, Nitration, Sulphonation, Acetylation reactions at it units. Some of the products are as: Dye intermediate: Par..
                 

Morganite takes the consolidation path

11 months ago  
Business / Blogs/ M&A Critique  
MORGANITE CRUCIBLE (INDIA) LIMITED (MCIL) is engaged in business of manufacturing and selling of silicon carbide and clay graphite and its accessories. Silicon carbide and clay graphite crucibles are used primarily as consumables in the manufacture of non-ferroalloys industries. Crucible is manufactured at Aurangabad in Maharashtra. The Aurangabad plant is certified under ISO 9001:2008. MCIL was a joint venture between Cotton Greaves and Morgan group. However, in 2006 it was acquired by Morgan group. In the same year Morganite had made investment in Diamond Crucible company Limited (DCCL) of Rs  4.96 crore for 51% and,  in July 2017 had acquired the remaining stake for Rs 16 crore. DIAMOND CRUCIBLE COMPANY LIMITED (DCCL) is primarily engaged in manufacture and sale of crucibles and allied refractory products for industrial use having its manufacturing facility at Mehsana in Gujarat. DCCL is currently WoS of the MCIL. DCCL was incorporated on June 23, 1981. The company’s sales are most..