V-Guard To Acquire Sunflame Enterprises For Rs 660 Crore
Consumer electricals major V-Guard on Friday (9 December) announced that it will buy 100 per cent stake in Sunflame Enterprises for Rs 660 crore.
In a statement on Friday, the company said that it has signed "definitive agreements for acquiring 100 per cent stake in Sunflame Enterprises for a consideration of Rs 660 crore, on a cash-free, debt-free basis, subject to closing adjustments".
Sunflame is one of the leading players in the kitchen appliances space in India.
The transaction is expected to close by mid of January 2023, the company said, adding that the acquisition is in line with V-Guard's strategy to become a significant player in the domestic kitchen appliances segment.
The transaction would be funded through a mix of internal accruals and debt, it said.
Speaking on the occasion, Mithun Chittilappilly, managing director, V-Guard, said, "The proposed acquisition is a key milestone in V-Guard's journey to have deeper engagement with its consumers by providing thoughtful products and experiences".
"Sunflame is an iconic brand etched in the memories of Indian households and is expected to provide significant thrust to V-Guard's plans to become a leading Indian Kitchen Appliances player," Mithun added.
Sunflame's managing director K L Verma, Managing Director, SEPL said, "We are confident that the Sunflame brand would scale even greater heights with V-Guard".
Deloitte Touche Tohmatsu India, Cyril Amarchand Mangaldas and Singhi Advisors provided financial, legal and transaction advisory services respectively to V-Guard, the company said.
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