Tube Investments of India Ltd stated that it will acquire 70 per cent stake in start-up Cellestial E-Mobility Pvt Ltd for Rs 161 crore.
The company added that it has signed shares subscription and purchase agreement, with Cellestial E-Mobility, its founders and other existing shareholders in connection with the making of a strategic investment, in an all cash transaction of Rs 161 crore to acquire stake of up to 70 per cent in the share capital of Cellestial.
The acquisition will be through the purchase of equity shares from the founders and other existing shareholders of Cellestial and by way of subscription to fresh equity shares to be issued by Cellestial.
Cellestial E-Mobility is engaged in the design and manufacture of electric tractors, aviation ground support electric equipment and other electric machinery. It has already designed and developed two tractor prototypes for production, TII said in a regulatory filing.
TII Chairman M A M Arunachalam said, ''The formation of a separate subsidiary and acquisition of a controlling stake in Cellestial will enable the company to bring required focus to the emerging growth opportunities in electric vehicles.''
(With inputs from PTI)
