MUMBAI Private sector shipbuilder Bharati Shipyard plans to acquire majority stake in south India-based Tebma Shipyards for 757.5 million rupees, it said in a statement late on Monday.
Bharati is infusing fresh equity capital into Tebma Shipyards at a price of 19.20 rupees per share and proposes to expand the post-issue equity capital base of Tebma to 773.6 million rupees, the statement said.
The current equity capital of Tebma stands at 77.8 million rupees.
"This significant acquisition of Tebma Shipyards, is of strategic importance to us, as we get access to their ready-made and modern shipyards in Karnataka, Kerala and Tamil Nadu," P.C. Kapoor, managing director, said.
"The Bharati-Tebma entity , with a total of 9 shipyards, will now be in a formidable position to offer cost effective solutions to their global and domestic customers," he added.
Tebma Shipyards has a current orderbook of approximately 7.5 billion rupees, the statement added. In October Bharati had said its orderbook was around 50 billion rupees.
At 9.31 a.m., shares of the firm were up 7.49 percent at 246.2 rupees in a weak mumbai market.
(Reporting by Nandita Bose; Editing by Sunil Nair )
Trending On Reuters
India plans to shift to a gas-based economy by boosting domestic production and buying cheap liquefied natural gas (LNG) as the world's third-biggest oil importer seeks to curb its greenhouse emissions, oil minister Dharmendra Pradhan said. Full Article