Elgi Equipments share price rose more than 4 percent intraday on December 17 after the company's arm acquired US-based company.
The company board approved the acquisition of 100 percent shareholding and control of Michigan Air Solutions LLC, a Limited Liability Company headquartered in State of Michigan, USA.
This acquisition will be accomplished through ELGi Compressors USA, Inc, a wholly-owned subsidiary of the company.
Michigan is a distributor and specialist in air compressor sales, maintenance and services.
This acquisition will significantly expand the company's footprint in the State of Michigan, USA.
The total cash consideration for the acquisition is approximately USD 6 million (Rs 42.44 crore).
Subject to the approval of members, the board of directors has approved Elgi Equipments Limited Employees Stock Option Plan 2019 providing for a grant up to 15,84,045 Options (not exceeding 1 percent of the equity shares), to employees of the company, its holding and subsidiary companies.
At 10:52 hrs Elgi Equipments was quoting at Rs 251.00, up Rs 7.40, or 3.04 percent on the BSE.
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