Precision will buy the stake through Dutch unit PCL (International) Holding BV, the company informed the stock exchange.
Solapur-based auto component manufacturer Precision Camshafts Ltd has confirmed to acquire a 51% stake in Dutch electric driveline maker Emoss Mobile Systems BV for 7.36 million euros (Rs 58 crore or $8.65 million) in cash.
Precision will buy the stake through Dutch unit PCL (International) Holding BV, the company informed the stock exchanges on Friday. It will finance the deal through a combination of bank debt and internal accruals.
the remaining 49% will stay with Emoss’ promoters and remain actively involved in day-to-day activities, Precision said. The deal does not require any government or regulatory approvals.
Shares of Precision declined 0.71% on the BSE on Friday to close at Rs 98.05.
The deal in Emoss marks Precision’s third strategic acquisition in eight months. In March, the company announced the acquisition of a 76% stake in Germany-based precision machinist MFT Motoren und Fahrzeugtechnik GmbH in an all-cash deal for an undisclosed amount.
Last October, the auto component maker had acquired 95% stake in Nashik-based MEMCO Engineering Pvt. Ltd for an undisclosed amount.