Axis IT&T acquires 51-per cent stake in Cades Digitech
05 Sep 2009
Engineering and software solutions provider Axis IT &T, has taken up a 51-per cent stake in Bangalore based-Cades Digitech for an undisclosed amount. The acquisition has received the approval of the company board according to a filing the company made with the Bombay Stock Exchange.
According to media reports the transaction is valued at around Rs75 crore and Axis will eventually pick up a 100 per cent stake in Cades.
Cades provides product design and engineering services to clients including EADS, Boeing, Fokker, Nissan, Volvo and Mercedes Benz. Backed by Nadathur Holdings, the investment arm of Infosys co-founder NS Raghavan the company with revenues of around Rs50 crore. Nadathur with reportedly invested Rs30 crore in the firm has been looking for an exit since early last year.
Axis was acquired last year by Tayana Software Solutions (TSSL) of Rajeev Chadrasekhar who is presently an independent member of the parliament. Tayana is a wholly-owned subsidiary of Bangalore-based Jupiter Strategic Technologies.
Axis reported Rs9.8 crore in revenues for the June quarter and a net loss of Rs68 lakh.
The Cades team has expertise in multiple fields including product design and development, design analysis, simulation, multi-body bynamics, virtual protyping and testing, manufacturing engineering, product data management and technical documentation. The company has a topline in the region of Rs50 crore and is projected to grow 20 per cent during 2009-10.
Axis, an engineering design service provider with over twenty years of experience in delivering product desing, 3D modeling, fininte element analysis, design and assembly, reverse engineering and conversion of legacy drawings. Axis, which is part of Rajeev Chandrashekhar's Jupiter Aviation plans to emerge a significant player in the field of aircraft maintenance, repair and overhauling, and training.
