Grasim Industries To Acquire Soktas India
Grasim Industries Limited (Grasim) signed a definitive agreement, to acquire 100% equity shareholding of Soktas India Private Limited (SIPL), from its current promoters, for an enterprise value of INR 165 Crores, subject to net debt and working capital adjustments, as of the closing date. The transaction will be funded by the Company primarily out of internal accruals. SIPL will become a wholly owned subsidiary of Grasim upon completion of the transaction.
SIPL is currently a wholly owned subsidiary of SOKTAS Tekstil Sanayi ve Ticaret A.S., world-renowned producer and marketer of fabrics, with its main facilities in Soke, Turkey.
Today, SIPL is in the business of manufacturing and the distribution of premium cotton fabrics. Its state-of-the-art manufacturing facility is located at Kolhapur, Maharashtra. Its plant capacity is about 10 million metres per annum of finished fabric. SIPL sells premium fabrics in India under the "SOKTAS", "Giza House" and "Excellence by SOKTAS" brands. The company is also a preferred supplier to leading Indian and Global menswear brands. In Fiscal March 2018, SIPL reported revenue and EBITDA of INR 186 Crores and INR 31 Crores respectively.