Havells to ramp up stake in Promptec Renewable
The Dollar Business Bureau
Havells India has acquired a 51% stake in Promptec at an enterprise value of Rs.65 crore. This would ramp up its stake in Promptec Renewable Energy Solutions for an undisclosed amount, the electrical equipment firm said in a statement to BSE. According to it, Havells India has signed a tripartite agreement with its subsidiary Promptec Renewable Energy Solutions Pvt Ltd on Monday. Post-acquisition, the promoter-side of Promptec will continue to hold a 49% stake in the company. This marks the entry of Havells in the field of solar energy.
As per the agreement, Havells India has decided to acquire a 70% stake in Promptec and the shareholders of Promptec. Currently, it owns 51% stake in the paid-up share capital of Promptec. Promptec, a Bangalore based company, manufactures and markets LED (Light Emitting Diode) lighting and solar lighting products. It also offers power electronics solutions.
Promptec has an R&D centre where it develops and customises LED lighting products based on the customer’s requirements. It has supplied over 60,000 LED street lights in the past three years in the local and overseas markets. Promptec Renewable has another 30,000 sq ft electronics manufacturing unit in Bangalore. The company has served around 300 villages with solar LED street lights.
In a separate statement to the BSE, Havells India has informed that it is going to roll out solar solutions in the domestic market. Solar power generating systems, solar pumps, solar street lights and home lighting kits are some of the products to be launched pan India.
The company will manufacture and assemble these products at its Neemrana unit. The production will start in several phases from this month onwards, the company said.