Motilal Oswal PE invests Rs 45cr in ElectroMech Material

Motilal Oswal Private Equity Advisors has announced its second deal this week with a Rs 45 crore investment in ElectroMech Material Handling Systems (India) Private Ltd, one of the largest  manufacturer of work shop duty cranes in India. ElectroMech is engaged in the business of design, engineering, manufacturing and installations of Electric Overhead Travelling (EOT) Cranes, Electric Wire Rope Hoists, Jib Cranes and Gantry Cranes. Pune-based ElectroMech has supplied in excess of 4,000 cranes.

Earlier this week, Motilal Oswal PE along with IDFC's Hybrid Infrastructure Portfolio invested Rs 80 crore in GR Infraprojects Ltd, an integrated road infrastructure company from Rajasthan.

ElectroMech has tie-ups with global players like ABUS & Stahl (EX) from Germany, Sibcranex from Russia, and Shuttlelift from USA for technology and increasing customer reach. It has also started providing complete after-market sales and services required for cranes, hoists & related material handling systems through its subsidiary Cranedge.

ElectroMech has its main facility in Pune spread over 18 acres of land with a new facility coming up at Sriperembudur near Chennai to cater exclusively to the markets in Southern India.

According to an ICRA filing dated February '10,  ElectroMech reported profit after tax (PAT) of Rs 11.06 crore on an operating income of Rs 137.65 crore in FY 2009 as against PAT of Rs 7.48 crore on an operating income of Rs 71.06 crore in FY 2008. In H1, FY 2010, the company reported PAT of Rs 5.4 crore on an operating income of Rs 66.5 crore.