Minda Industries wins an offer for 51% stake in Uz Chasys, Uzbekistan, for 58 crore INR, Auto News, ET Auto
New Delhi: Automotive components company Minda Industries limited (MIL) has won the bid to acquire 51% stake in leading automotive lighting maker UZ Chasys LLC, a government-controlled company in Uzbekistan, for a prize purchase of 83.1 billion soms, equivalent to about INR 58 crore.
The government of Uzbekistan is liberalizing the economy and ceding its stake in some of the government-controlled entities like UZ Chasys through an auction process, MIL said in a statement.
UzChasys specializes in the manufacture of automotive headlights and lamps and is one of the leading suppliers of OEMs in Uzbekistan and has significant exports.
According to Minds Industries, the Uzbekistan automotive market is expected to experience significant growth in the coming years with the introduction of new models that will benefit UZ Chasys. The acquisition will further expand the company’s geographic footprint, he added.
Last week, Minda Industries raised INR 50 crore through the issuance of commercial papers. “Minda Industries has issued the INR 50 crore commercial paper with the grant date June 17, 2021 and due August 11, 2021,” the company said in a regulatory filing.
Minda Industries said this is in line with management’s efforts to reduce financial costs.
Last month, Minda Industries said its board of directors approved the acquisition of a 27.55% stake in CSE Dakshina Solar for Rs 27 lakh.
The acquisition aims to use solar power from CSE Dakshina for the company’s units in Tamil Nadu.
CSE Dakshina, a special purpose vehicle, is dedicated to providing solar power solutions for captive consumption of commercial and industrial customers in India. It was incorporated in 2019. The company is in the process of setting up the project.