CarTrade Tech on July 10 informed the bourses that it has entered into a share purchase agreement with Sobek Auto India Private Limited and its holding company OLX India BV for the acquisition of a 100 percent stake in Sobek from OLX India BV.
Sobek is being acquired at a cost of Rs 537.43 crore to be paid on the completion date of the acquisition.
The deal is subject to the completion of certain conditions and on the terms and conditions agreed between the parties in the share purchase agreement, CarTrade Tech said in an exchange filing. This may take up to 21 to 30 days or as may be mutually decided between the parties.
Per SEBI regulations, the company informed the BSE and NSE that Sobek Auto India Private Limited has an authorised share capital of Rs 77,000,000, paid-up capital of Rs 38,407,530, and reported a turnover of Rs 1,11,040 lakhs in FY2021-22.
It further informed that the acquisition does not fall under related-party transactions and declared that none of the group companies have any interest in the above entities.
CarTrade Tech said the acquisition is in furtherance of the strategic objectives of the company to undertake investments that provide synergistic benefits to its existing businesses.
Sobek, which is in the business of running an automotive digital platform and a classifieds internet business, had recently acquired the classifieds internet business from OLX India Private Limited under a business transfer agreement. As part of the acquisition, Sobek has now entered into an intellectual property licence agreement and a transitional support agreement for the use of certain brands and technology.
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