CK Birla Group has decided to buy the 30% stake held by private equity firm Warburg Pincus in its group company Avtec Ltd, reported a financial daily citing Avtec CEO Prabhakar Kadapa.
The report also cited a person aware of the development as saying that the transaction is likely to value Avtech around $125-150 million.
In 2013, Warburg Pincus had acquired the 30% stake in the company from private equity firm Actis for an undisclosed amount.
Avtec makes powertrain and precision-engineered products. It has three manufacturing facilities, at Hosur and Chennai in Tamil Nadu and Pithampur in Madhya Pradesh.
The company’s consolidated net sales stood at Rs 655 crore and loss after tax was Rs 17.5 crore for the year through March 2017.
