The Board of Directors of Minda Industries Ltd at its meeting held today i.e. Monday, February 7, 2022, approved the investment in equity shares of Minda Kosei Aluminum Wheel Private Limited ('Minda Kosei').
Minda Kosei is engaged in the development, manufacturing and sales of aluminum alloy wheels for major car OEMs and aftermarket in India.
It is a 70:30 joint venture company between Minda Group and Kosei International Trade and Investment Company Limited, Japan ("Kosei Japan"). Investment in Minda Kosei by Minda Group is held 69.99% by Minda Industries Limited and 0.01% by Minda Investments Limited.
The Board of Minda Kosei has made a Right Issue Offer of Rs. 61. 20 Crore. Kosei Japan and Minda Investment has renounced their Right in favour of Minda Industries Limited.
Pursuant to said Right Issue and further renunciation of right by Kosei Japan and Minda Investments Limited, the Board of Directors of the Company today approved the further investment of Rs.61.20 Crores in Minda Kosei, by way of subscription to 61,200,000 equity shares having face value of Rs.10 at par. Resultantly, MIL's stake in Minda Kosei, post investment will increase from 70% to 77.35%.
The transaction is expected to be completed on or before March 31, 2022.
Shares of Minda Industries Limited was last trading in BSE at Rs. 1060.95 as compared to the previous close of Rs. 1080.40. The total number of shares traded during the day was 8487 in over 896 trades.
The stock hit an intraday high of Rs. 1082.20 and intraday low of 1052.00. The net turnover during the day was Rs. 9004754.00.