Bharat Forge arm Kalyani Strategic buys 25% stake in Italy’s Edgelab for €2.5 mn – CNBC TV18
Auto components major Bharat Forge Ltd on Friday (December 13) said its wholly-owned subsidiary Kalyani Strategic Systems Ltd has announced a €2.50-million investment to acquire a 25% equity stake in Italy-based Edgelab SpA. The acquisition will be made through a cornerstone investment agreement signed on December 13, 2024, as part of Edgelab’s proposed initial public offering (IPO).
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“Please be informed that Kalyani Strategic Systems Limited (KSSL), a wholly-owned subsidiary of the Company has entered into a Cornerstone Investment Agreement (Cornerstone Investment Agreement) with Edgelab S.p.A, Italy (Edgelab) on December 13, 2024, for the acquisition of 25% of Edgelab’s equity share capital, pursuant to its proposed initial public offer,” Bharat Forge said in a regulatory filing.
Edgelab, founded in 2010 and headquartered in La Spezia, is an innovative SME with expertise in designing and manufacturing hi-tech vehicles in the field of marine robotics, with a variety of application areas, including scientific research, archaeology, undersea, offshore applications, underwater professional and port area control.
Also Read: Bharat Forge raises ₹1,650 crore via QIP — Here is how it plans to use the funds
For the financial year ending December 2023, Edgelab reported a turnover of €1.89 million, reflecting steady growth over the past three years. The company’s FY2022 and FY2021 revenues were €1.10 million and €1.11 million, respectively.
The acquisition, subject to conditions outlined in the agreement, does not require additional governmental approvals in India, except for compliance with Foreign Exchange Management Act (FEMA) requirements.
Shares of Bharat Forge Ltd ended at ₹1,346.50, down by ₹6.35, or 0.47%, on the BSE.
Also Read: Bharat Forge Q2 Results: Revenue, profit below expectations but margins expand
(Edited by : Shoma Bhattacharjee)
First Published: Dec 13, 2024 6:59 PM IST
