ADC to acquire KEONICS' holding in Krone India

Bangalore, Mar 20 (UNI) KRONE Communications Ltd today announced that ADC, a leading communications network infrastructure solutions provider, has agreed in principle to acquire an additional 11 per cent interest in KRONE India from Karnataka Electronics Development Corporation Ltd (KEONICS) through its subsidiary ADC GmbH for a consideration of around Rs 8.55 crore.

ADC GmbH had entered into an agreement with KEONICS to acquire KEONICS' entire interest in KRONE communications India Ltd. KEONICS presently held 506,000 shares in KRONE. Under the agreement, ADC GmbH would pay KEONICS Rs 169 per share. Following the closing of the proposed transaction, subject to certain conditions, ADC GmbH would hold 62 per cent ownership interest in KRONE India, a release here said.

In 2004, ADC had acquired the KRONE group worldwide. However, the India operations continued to be a publicly listed joint venture between ADC GmbH, which held 51 per cent, KEONICS, which held 11 per cent, and 38 per cent by the public.

Since its inception in 1989 ahead of the deregulation of the telecom market, KRONE India had been an established brand in the Carrier and Enterprise markets in India with its various cable and connectivity products in the network infrastructure space.

UNI