New Delhi, Mar 13 (UNI) Havell's India, one of the leading electrical products company, today announced the acquisition of SLI Sylvania's lighting business for 300 million dollars in an all-cash-deal.
Its Netherlands-based subsidiary -- Netherlands BV -- has signed an agreement with SLI Holdings Inc, for the latter' buyout.
The acquisition process will be completed in between April-May this year.
''Sylvania's acquisition will provide us a platform with strong brands and established distribution channels in the global lighting industry with a strong presence in the developed markets of Europe and high growth Latin American markets,'' Havell's India Chairman and Managing Director (CMD) Qimat Rai Gupta told reporters here.
The combined turnover of the two entities totals nearly one billion dollars with a market access to 40 countries.
This is the largest ever acquisition by an Indian electrical company overseas, the CMD said.
''After the acquisition, Sylvania will remain a subsidiary and there are no plans of merging it with the company,'' Havell's India Joint Managing Director Anil Gupta said.
This take over by Havell's Netherlands BV will be financed with non-recourse debt facilities of 160 million dollars and recourse facilties of 105 million dollars by way of loan/equity through Havell's subsidiaries granted by the company, Mr Gupta added.
Post-acquisition, nearly two-third of Havell's consolidated revenues will come from international markets and SLI Sylvania's 10 manufacturing plants located across Europe, Latin America and Africa will come under Havell's ambit.
Deutsche Bank Group is the financial advisor to Havell's on the transaction. Barclays capital is acting the lead arranger for the financing.
SLI Sylvania, which has well-known lighting brands such as Sylvania, Marlin, Claude and Lumiance, reported a revenue of 594 million dollars in 2006.
UNI
Its Netherlands-based subsidiary -- Netherlands BV -- has signed an agreement with SLI Holdings Inc, for the latter' buyout.
The acquisition process will be completed in between April-May this year.
''Sylvania's acquisition will provide us a platform with strong brands and established distribution channels in the global lighting industry with a strong presence in the developed markets of Europe and high growth Latin American markets,'' Havell's India Chairman and Managing Director (CMD) Qimat Rai Gupta told reporters here.
The combined turnover of the two entities totals nearly one billion dollars with a market access to 40 countries.
This is the largest ever acquisition by an Indian electrical company overseas, the CMD said.
''After the acquisition, Sylvania will remain a subsidiary and there are no plans of merging it with the company,'' Havell's India Joint Managing Director Anil Gupta said.
This take over by Havell's Netherlands BV will be financed with non-recourse debt facilities of 160 million dollars and recourse facilties of 105 million dollars by way of loan/equity through Havell's subsidiaries granted by the company, Mr Gupta added.
Post-acquisition, nearly two-third of Havell's consolidated revenues will come from international markets and SLI Sylvania's 10 manufacturing plants located across Europe, Latin America and Africa will come under Havell's ambit.
Deutsche Bank Group is the financial advisor to Havell's on the transaction. Barclays capital is acting the lead arranger for the financing.
SLI Sylvania, which has well-known lighting brands such as Sylvania, Marlin, Claude and Lumiance, reported a revenue of 594 million dollars in 2006.
UNI
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