Escorts Promoter's Buy Additional 4% From Reliance Asset Mgmt
by Charmi Gutka
Nanda family - the promoter group of Escorts Group have bought additional 4% stake in the company from Reliance Asset Management for R32Cr through a bulk deal on BSE. The promoters bought 4.2mn shares for R76 per share.
This deal takes the promoter group holding to 31.67% from 27.67%. Reliance Asset Management's stake in the company has come down to 4%.
Escorts Limited was incorporated as Escorts (Agents) Pvt Ltd in Lahore in 1944. It started off by manufacturing tractors under the Escorts brand name in the 25-40 horsepower range. In 1969, It promoted Escorts Tractors Limited as a JV with Ford Motor Company for the manufacture of Ford Series of tractors in the 40-50 HP range. Escorts acquired the entire equity stake of Escorts Tractors in August 1995.
Cremica Food Industries is planning to tap the PE players to raise close to R150 Cr giving away a minority stake in the company for financing its expansion plans. Cremica is said to be in talks with PE funds including Tata Capital and is seeking a valuation of over R800 Cr.