Dixon Technologies Indiahas acquired its Joint Venture Company- Padget Electronics Private Limited (“Padget”) making it a Wholly-owned Subsidiary (WoS) of the Company. The company acquired a 50% stake in Padget Electronics for Rs27cr, the company said in the BSE filing on Friday after market hours.
The company has acquired, by way of acquisition, 75 lakh fully paid up equity shares of face value Rs10/- each of Padget Electronics Private Limited (“Target Company”), which represents 50% of total Equity Share capital of the Target Company, the company said in the filing.
Consequently, post the completion of the acquisition, the target company has become a wholly owned subsidiary of the company as the company previously held 50% of equity holding in the Target Company, the company said.
Therefore, this acquisition is a strategic investment decision and Dixon plans to accelerate the growth of this business segment.
Atul B. Lall, Managing Director of the Company said that “This acquisition complements our overall Electronic Manufacturing Services offering. This investment by the Company represents an important strategic decision and demonstrates our commitment to build a world-class business that serves our customers and enhances value for our stakeholders.”
Dixon Technologies (India) Ltd is currently trading at Rs2,381, down by Rs37.25 or 1.54% from its previous closing of Rs2,418.25 on the BSE. The scrip opened at Rs2,395 and has touched a high and low of Rs2,405 and Rs2,380 respectively.―India Infoline