Cyient to acquire remaining 26% stake in EDSM subsidiary

Cyient on Tuesday said it has signed a definitive agreement to acquire remaining 26 percent stake in one of its subsidiaries, Cyient DLM, to take the overall holding to 100 percent.

Mysuru-headquartered Cyient DLM, formerly Rangsons Electronics, is an electronics system design and manufacturing (EDSM) services company.

"Cyient Limited acquired 74 percent equity stake in Rangsons Electonics Pvt Ltd in February 2015...By acquiring the balance 26 percent stake, Cyient Limited and its nominees will get 100 percent ownership in Cyient DLM," Cyient said in a regulatory filing.

The deal involves a equity payout of Rs 42.50 crore for 26 percent stake acquisition "in line with the terms of the Share Purchase Agreement entered into between Cyient Ltd and the sellers in January 2015", it added.