TVS Motor Company has agreed to acquire further 39.11% stake from the existing shareholders of DriveX Mobility Pvt. Ltd., for a cash consideration of ₹97.78 crore.
With this acquisition, TVSM stake will increase to 87.38% and consequently Narain Karthikeyan backed firm will become a subsidiary company, the leading two and three wheeler manufacturer said in a regulatory filing.
Currently, TVSM holds 9,766 equity shares comprising 48.27% of the issued, subscribed and paid-up share capital of DriveX. TVSM Managing Director Sudarshan Venu, one of the members of the promoter group, holds 0.59% of the target entity.
DriveX, a company primarily engaged in the trading and distribution of two-wheelers, generated a turnover of ₹34 crore in FY24 with a loss after tax of ₹31 crore and networth was ₹43 crore. The transaction is expected to be completed in 30 days.
Published – November 30, 2024 05:27 pm IST
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