Syrma Technology & SGS Tekniks have announced a definitive merger agreement. The cash cum stock merger will see the creation of Syrma SGS Technologies Pvt. Ltd with a combined turnover of over Rs.1000 crores, with 55% revenues coming from exports primarily to USA & Europe. The deal was supported through a Private Equity investment by GEF.
Upon completion of this Merger, Syrma SGS Technologies Pvt. Ltd will have 8 manufacturing facilities in India across Gurgaon, Manesar, Bawal, Baddi, Bangalore, Chennai, Bargur, and 3 design centre centres in Chennai, Gurgaon, Stuttgart Germany.
Consequently, this strategic merger is a perfect fit as there are no overlapping customers, industry verticals and geographies between the two entities. Further, with the established track record and strong expertise of the combined entity will serve marquee customers in Industrial, Water Purification, Medical and Automotive industries.
Sandeep Tandon, MD - Syrma Technology Pvt. Ltd. Commented "Application areas such as medical electronics and defence electronics are seeing a surge leading to growth in the overall electronics sector. With Government recently announcing incentive schemes like PLI, Specs, EMC 2.0, etc., for developing the ecosystem, there is a bigger need for technological advancement in the EMS sector. This merger brings in a combined strength in new product and new customer acquisition through Co-Creation, Product realization and Lifecycle management. I'm excited about the future prospect of the combined entity and believe that the merger with SGS Tekniks can help us grow to our business by over 20 % y-o-y."
"We are delighted to bringing together these two iconic companies through this merger and creating a strong platform for both domestic and international growth. We have the utmost respect for Syrma business and its employees, and greatly look forward to working together as we integrate the two companies," said, JS Gujral, Founder and Chairman of SGS Tekniks.
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