Mumbai (Maharashtra) [India], April 8 (ANI): Kalpataru Power Transmission Ltd's (KPTL's) wholly-owned subsidiary in Brazil has completed acquisition of 51 per cent controlling stake in Fasttel Engenharia Ltda.
Founded in 1988 Fasttel specialises in engineering, procurement and construction (EPC) and maintenance of power transmission lines, sub-station and distribution systems across various voltage range up to 750 kilovolts.
"Kalpataru Power Do Brasil Participacoes Ltda, Brazil, a wholly-owned subsidiary of the company, has completed the acquisition of 51 per cent stake in Fasttel along with management control on 7th April, 2021," KPTL said in regualtory filings at stock exchanges on Thursday.
At 12:45 pm, the company's stock was trading 2.87 per cent higher at Rs 385.35 per unit.
In February, KPTL had signed a definitive agreement to acquire controlling stake of 51 per cent in Fasttel for 8.8 million dollars (about Rs 64 crore).
The company had revenue of 47 million dollars (about Rs 343 crore) last year and has an order book of 95 million dollars (about Rs 693 crore).
"We continue to expand our geographical reach aligned to our vision of being a local player in the global environment," said KPTL's Executive Director Sanjay Dalmia.
"This acquisition of Fasttel is of strategic fit to KPTL in order to capture local market opportunities in Brazil and expand business in Latin American market," he said in a statement.
Fasttel has a track record of revenue growth of more than 25 per cent CAGR over the last five years along with consistent profitability. It has experienced manpower which does in-house engineering, procurement, land survey, planning, environment clearances and construction, said Dalmia.
Brazil is a large and well-regulated power transmission and distribution market with sizable investment planned in the next 10 years.
"We look forward to welcoming Fasttel into the Kalpataru family. Both the companies will leverage each other's capabilities and look forward to create a strong presence in Brazil and larger Latin American T&D market," said Dalmia.
KPTL is one of the largest and fastest-growing specialised EPC companies from India engaged in power transmission & distribution, oil & gas pipeline, railways, infrastructure development, civil contracting and warehousing & logistics business with a strong international presence in power transmission & distribution.
The company is currently executing several contracts in India, Africa, Europe, Middle East, CIS, SAARC and Far East. (ANI)