Menon Pistons Ltd to acquire Rapid Machining Technologies Private Limited

The Board of Directors of Menon Pistons Ltd had earlier approved proposal for making an Investment upto Rs. 12,00,00,000/- (Rupees Twelve Crores only) with the purpose of adding critical components to existing product portfolio and authorizing the Chairman & Managing Director to negotiate and finalize the proposed investments.

The Company has now entered into a Share Purchase Agreement with the promoters of M/s. Rapid Machining Technologies Private Limited for the purchase of 4,49,273 Equity shares of Rs. 10/- each which amounts to 100% of the paid up capital of the Company. The said Investment is within the authorisation limit of Rs. 12,00,00,000/- (Rupees Twelve Crores only). M/s. Rapid Machining Technologies Private Limited would be a wholly owned subsidiary of the Company.

M/s. Rapid Machining Technologies Private Limited are into business of manufacturing of fabricated metal products and metal working service. This business is auxiliary to the business of the Company and would help the growth of the Company as well as to get a good synergy between the businesses can be achieved, with this Investment the Company would be expanding its Business in:

- Adding critical components to existing product portfolio.
- Good potential with the new addition to scale up the operations
- Self sustaining business model

Shares of MENON PISTONS LTD. was last trading in BSE at Rs.18.2 as compared to the previous close of Rs. 17.85. The total number of shares traded during the day was 9303 in over 90 trades.

The stock hit an intraday high of Rs. 18.85 and intraday low of 17.75. The net turnover during the day was Rs. 168963.

Source : Equity Bulls

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