Voltas Ltd, an engineering projects company of Tatas, has acquired the remaining 16.33 per cent stake in Rohini Industrial Electricals Pvt Ltd (RIEL), an electrical and instrumentation services provider, for an undisclosed amount, as per a stock market disclosure. With this, RIEL has become the wholly owned subsidiary of Voltas.
The stake was acquired from RIEL’s promoters on October 14, 2013.
Incorporated in 1983, Mumbai-based RIEL, involved in supplying, installation, testing and commissioning of power transformers, HT and LT panels, cable laying and termination, testing and oil filtration, relay testing, vacuuming, filtration and transformer overhauling services. Its manufacturing units are located at Thane, Dadra and Pantnagar.
In August 2008, Voltas acquired 51 per cent stake in RIEL for Rs 62 crore. One year later it hiked its stake in the company to 67.33 per cent by acquiring additional 16.33 per cent stake for Rs 23.56 crore and in August 2010 purchased another 16.3 per cent stake for Rs 19.97 crore.
Founded in 1954, Voltas offers engineering solutions in areas such as heating, ventilation and air conditioning, refrigeration, electro-mechanical projects, textile machinery, mining and construction equipment, water management & treatment, cold chain solutions, building management systems and indoor air quality.
Last November Voltas had divested the remaining 34 per cent stake in Voltas Material Handling Pvt Ltd (VMH) to KION Group’s Linde Material Handling Asia Pacific for Rs 58 crore. In 2011, KION Group acquired 66 per cent stake in VMH through JV with Voltas for Rs 110 crore.
Shares of Voltas last traded at Rs 81.45, down 2.4 per cent on BSE in a weak Mumbai market on Tuesday.
