Banco Products (India) Ltd. Acquires Padra Coating Works LLP in Strategic Move
In a significant development, Banco Products (India) Ltd. announced the acquisition of Padra Coating Works LLP on February 8, 2025. This strategic move is aimed at strengthening Banco Products’ control over the quality of powder-coated parts and ensuring seamless delivery to Original Equipment Manufacturers (OEMs). The acquisition, valued at an aggregate lump-sum consideration of Rs. 25.25 lakh, is expected to be completed by June 30, 2025, subject to customary conditions and the execution of definitive agreements.
Padra Coating Works LLP specializes in coating and painting components and parts for automobile gaskets and radiator parts, in addition to providing job work services based on customer requirements. The company reported a turnover of Rs. 1.75 crore as of March 31, 2024, with previous financial years showing steady growth—Rs. 1.58 crore in 2022-23 and Rs. 1.02 crore in 2021-22. Notably, the acquisition does not involve any related party transactions, and neither the promoter group nor group companies have any interest in Padra Coating Works LLP.
Brainbees Solutions Limited Invests in Digital Age Retail Private Limited
On the same day, Brainbees Solutions Limited approved a substantial investment of Rs. 299.59 crore in its wholly-owned subsidiary, Digital Age Retail Private Limited (DARP). DARP operates in the retail trade of baby, kids, and maternity products. The investment will be utilized to set up new modern stores, cover lease payments for existing stores, and repay an existing loan of Rs. 45 crore owed by Brainbees Solutions Limited.
The funding for this investment will come from two sources: Rs. 254.59 crore from the proceeds of Brainbees Solutions’ Initial Public Offer (IPO) and Rs. 45 crore from the company’s internal funds. Brainbees Solutions Limited holds 100% equity shareholding in DARP and will continue to maintain full ownership post-investment. Despite being a related party transaction, the investment is conducted at arm’s length. The investment is slated to be completed in multiple tranches during the financial year 2024-25.
DARP’s financial performance highlights include a turnover of Rs. 3404.29 crore, a net worth of Rs. 141.91 crore, and a PAT (Profit After Tax) of Rs. (36.72) crore.
Kaynes Technology India Limited Expands Global Footprint
Kaynes Technology India Limited has also made headlines with its proposed investment of up to USD 1.9 million in its wholly-owned subsidiary, Kaynes Holding Pte. Ltd. The investment, approved on February 8, 2025, involves the acquisition of 18,71,280 equity shares at USD 1.01 per share. Post-investment, Kaynes Technology India Limited will hold 100% of the 76,21,280 shares of Kaynes Holding Pte. Ltd.
Kaynes Holding Pte. Ltd is engaged in electronics system design and manufacturing and is poised to undertake strategic investments and acquisitions. The primary objective of this investment is to expand Kaynes Technology’s business presence in the electronics system design and manufacturing sector while facilitating strategic growth opportunities.
The investment is not classified as a related party transaction, despite Kaynes Holding Pte. Ltd being a related party. Key personnel involved include Mr. Ramesh Kunhikannan, Managing Director, and Mr. Jairam Paravastu Sampath, Whole Time Director & CFO of Kaynes Technology India Limited, who also serve as Directors in Kaynes Holding Pte. Ltd. The transaction is expected to be completed by February 28, 2025.
These strategic moves by Banco Products (India) Ltd., Brainbees Solutions Limited, and Kaynes Technology India Limited underscore their commitment to growth, operational efficiency, and market expansion in their respective industries.
