Hyderabad: Time Technoplast has acquired 74 per cent stake in Hyderabad-based NED Energy Ltd, a closely held company, which is engaged in manufacturing valve-regulated lead acid (VRLA) batteries. NED Energy has developed corrosion-free high-performance batteries in association with the Indian Institute of Science, Bangalore, and Central Electrochemical Research Institute (CERI), Karaikudi.
Addressing a press conference here , Time’s Managing Director, Anil Jain, said the company paid Rs. 44.31 crore for acquiring 71 per cent of promoter’s holding and Rs. 6 crore towards the 5.8 lakh shares of fresh equity in order to expand the company’s overseas business.
NED Energy had been into production of batteries for telecom antennas of major players and the new set-up would explore the automotive original equipment manufacturers (OEMs) for the supply of batteries. In fact, Time had been supplying radiator and fuel tanks to automotive manufacturers.
Time Technoplast, which went public in 2007, was a Rs. 456-crore company with a market capitalisation of Rs. 1,450 crore and posted a net profit of Rs. 41.10 crore last fiscal.
It was operating in five different verticals, manufacturing plastic containers, lifestyle items such as doormats, instant lawns and garden chairs, healthcare products such as auto-break syringes, auto-collect blood samplers and safe disposable face masks.
Managing Director of NED Energy, S. Gautam, said NED would make rapid strides and targeted Rs. 60-crore business next year.
A new plant, being set up in Gujarat for making batteries for automotives, would go on stream by the second quarter of FY 2009.
Source : Hindu, India