Consumer durables firm Bajaj Electricals on Friday bought the non-stick cookware-maker Nirlep Appliances for around Rs 80 crore, which includes equity and debt.
According to a PTI report: Aurangabad-based Nirlep, launched in 1968, is among pioneering brands to introduce non-stick tech and is also the first domestic firm to export to Europe.
“We have proposed to acquire the entire shareholding of Nirlep for a consideration of Rs 42.50 crore, subject to adjustments of any additional liabilities for the period prior to acquisition,” Bajaj Electricals said in a BSE filing.
This will help Bajaj Electricals cement its position in the fast-growing Rs 12,000 crore kitchenware category.
Nirlep Founder Mukund Bhogale said, “We have agreed to sell the entire stake in Nirlep to Bajaj Electricals for around Rs 80 crore. The deal involves Rs 42.50 crore for 100 per cent equity and taking over Rs 30 crore of debt. The rest is deferred payment.”
The deal will be completed in two tranches.
In the first tranche, 80 percent of shares will be acquired within 60 days from Friday and in the second tranche, the company has a right to exercise call option to acquire the remaining 20 percent of shares any time after the closing date, Bajaj said.
The publicly traded Bajaj had over Rs 4,700 crore in revenue last fiscal and is the largest small appliances player in the country.