Minda Corp exits Pricol, sells 15.7% stake for Rs 660 crore | Autocar Professional


In a sudden turn of events, Minda Corporation on Wednesday announced that it will give up its 15.7% stake in rival Pricol Ltd at a gross price of Rs 343.60 per equity share, effectively exiting the auto component maker. 

The transaction translates into approximately Rs 660 crore, resulting in a profit of about Rs 160 crore. The company had acquired this stake at a price of around Rs  Rs 400 crore at Rs 208.98 an equity share.  

Minda Corporation in a regulatory filing stated that it has sold 1,91,40,342 equity shares of Pricol Limited, representing 15.70406% of the Pricol’s total issued and paid-up equity share capital.

“The sale transaction has been completed. Following the sale, the Company’s equity shareholding in Pricol Limited has become nil” a statement prepared by Minda Corporation revealed. 

Last year, Minda Corporation announced its decision to acquire 15.7% stakes worth Rs 400 crore in rival Pricol Ltd. While Minda initially brushed off the move as putting extra money to good use, the market speculated it was a hostile takeover. Pricol had filed an objection with the Competition Commission of India against this planned acquisition. 

On January 4 this year, India’s competition regulator said that prima facie, the proposed merger by Minda may have adverse on competition and that it intends to conduct further inquiry into the process.

APM Terminals Elizabeth, a division of shipping giant A.P. Moller-Maersk, is dipping its corporate toe…

Mercedes-Benz High-Power Charging North America, a joint venture between Mercedes-Benz Group and MN8 Energy, is…

How are BMW and VW using AI in their EVs? Why are lawmakers pushing back…