Japanese conglomerate Shinryo Corporation has announced that it will acquire an 85 percent stake in the Mumbai-based clean room partition maker GMP Technical Solutions, for an equity valuation of Rs 185 crores. Shinryo will acquire the stake from the Pune-based engineering and real estate firm Vascon Engineers Ltd.
The remaining 15 percent of GMP Technical Solutions is held and will continue to be held, by the company's management, according to a release announcing the deal.
Vascon had acquired the stake in GMP in 2010, with the company adding that exiting a "non-core" asset will help it boost its real estate business. Shinryo's stake acquisition in GMP is subject to regulatory and other approvals.
The release said that currently, GMP Technical Solutions is India's second largest clean room equipment maker, having been a supplier to a number of sectors such as pharmaceuticals, biotechnology, lithium-ion batteries, and others. GMP also provides clean room partitions to emerging sectors like semiconductor assembly and manufacturing.
Shinryo, a major global provider of heating, ventilation, and air conditioning, or HVAC, systems, said that GMP Technical Solutions' strength in the clean room partitions market in India will help the former expand in India, with growing demand for clean room partitions coming from sectors such as electronics and semiconductor manufacturing, as well as batteries.
Singhi Advisors were the strategic and financial advisors for Vascon for the transaction, while Shinryo were advised by Dream Incubators (Japan).
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