Continuing its strategy of investing in unlisted companies with high growth potential Canbank Venture Capital Fund Ltd. (CVCFL) through its Emerging India Growth Fund, has picked up a minority equity stake in Him Teknoforge Ltd (HIM) for a consideration of Rs 30 crore.
This also includes Rs 7.80 crore towards partial buyout of equity shareholding held by IFCI Venture Capital Funds Ltd. HIM is a leading manufacturer of Forgings and Machined Components for end use in Agri-Machinery, Automotives, Railways, Defense and Oil & Gas sectors. The product range comprises of gears, axles, shafts, levers, flanges, assemblies, sub assemblies, non gear/spider kits, etc.
Explaining the reason for investing in the company, K Baskaran, MD, CVCFL said, "The Company envisages good business potential in widening its product and customer base by undertaking modernization-cum-technology upgradation and expansion at its existing plants. The proposed capex will help the company in meeting the demands of its existing customers for the Machined Components. This will enhance the value addition of HIM's operations." He further added, HIM being an established player in the Industry will get the inherent benefits of the same.
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