New Delhi, Feb 11: Apar Industries Ltd today said it has acquired 42 per cent stake in Uniflex Cables Limited for Rs 50 crore to cater to the end-to-end requirements of the booming power transmission and distribution sector.
With this agreement, Apar Industries will become the single largest shareholder in Uniflex, a company statement said, adding that Apar will also make a public offer for acquiring another 20 per cent stake in Uniflex. Besides, Apar will also subscribe to 40 lakh warrants at the SEBI formula price to increase its stake to 49 per cent, making the deal size about Rs 70 crore plus the open offer.
Uniflex Cables Limited, one of the leading manufacturers of power and telecom cables in the country, has been valued at an Enterprise Value of over Rs 160 crore.
The Rs 7000 crore cable industry has been growing at over 25 per cent on a per annum basis.
Apar is a 400 million dollars diversified company offering value-added products and services in power transmission conductors, petroleum specialities and synthetic rubbers.