Astra MicroWave To Invest 16 Crore In JVC With Rafael
Astra Microwave Products Limited has invested INR 16.24 crore in the Joint Venture Company (JVC) Astra Rafael Comsys Private Limited. The JVC is formed with Rafael Advanced Defense Systems Limited, Israel. The other details of the JVC and investment are described below,
|1||Name of the party with whom the agreement is entered|
Joint Venture Agreement entered into by and between:
Rafael Advanced Defense Systems Limited ('Rafael"), Astra Microwave Systems Limited ("Astra") and Mr B. Malla Reddy ("BMR") ("Joint Venture Agreement").
|2||Purpose of entering into the agreement||The company and Rafael propose to carry on through the JV company, the business of production and supply of Tactical Radio Communication systems, Electronic warfare systems and Signal intelligence systems. |
|3||Shareholding, if any, with the entity with whom the agreement is executed; ||Astra 50% and Rafael 49% and Mr.B.Malla Reddy will hold 1% in JVC.|
|4||Significant terms of the agreement (in brief) special rights like the right to appoint directors, first right to share subscription in case of issuance of shares, right to restrict any change in capital structure etc., |
The maximum number of directors constituting the entire Board shall be 6, so long as the Astra group and Rafael hold shares in the company in the Agreed proportion, Astra shall be entitled to nominate 3 directors on the Board and Rafael shall be entitled to nominate 3 directors on the board.
Transfer of shares of the JV company by any shareholder is subject to first right of refusal in favour of the other shareholder.
|5||Whether the said parties are related to promoter/promoter group/group companies in any manner. If yes, nature of the relationship.||The joint venture partner viz., Rafael is not related to the promoter/promoter group/group companies of the manner company in any manner.|
|6||Whether the transaction would fall within related party transactions? if yes, whether the same is done at "arm's length" ||The transaction will not fall within the meaning of a 'related party transaction.|
|7||In case of issuance of shares to the parties, details of the issue price, class of shares issued;||The JV Company issued shares to the JV partners at par viz., Rs.10/- per price, equity share. |
|8||Any other disclosures related to. such agreements viz., details of - nominee on the board of directors of the listed entity, the potential conflict of interest arising out of such agreements, etc., ||None|
In case of termination or amendment of the agreement, the listed entity shall disclose additional details to the stock exchange:
a) Name of parties to the agreement;
b) Nature of the agreement;
c) Date of execution of the agreement
d) Details of amendment and impact thereof or reasons of termination and impact thereof.