Sundaram Clayton to buy out Sundaram Investment's stake
14 Aug 2010
Sundaram Clayton Ltd will acquire the entire paid-up capital of Rs5 lakh of Sundaram Investment Ltd and demerge the non-automotive related business of the company into SIL, the company said in a filing with the Bombay Stock Exchange (BSE).
The board of Sundaram Clayton also gave its nod for the merger of Sundaram Clayton's wholly owned subsidiary, TVS Investments Ltd, with Sundaram Investment and for the merger of Anusha Investments Ltd with the company.
The mergers and buyouts are, however, subject to regulatory approvals as required under the Companies Act and other 'Securities Laws' as defined under the listing agreement, the company said.
Sundaram Clayton Limited (SCL), part of the $4 billion TVS group, is one of the largest auto components manufacturers and a leading supplier of aluminium die-castings to automotive and non-automotive sector.
Sundaram Clayton sells about 60 per cent of its products in the domestic market while exports account for 40 per cent of total sales.
The company reported sales of $110 million in 2008-09.
