Welspun Corps wholly owned subsidiary Propel Plastic Products Private Limited on March 29 discharged Rs 1,251 crore to the creditors of Sintex BAPL Limited in the form of upfront cash, the company announced through an exchange filing. Post this Propel has been merged with SBAPL.
Sintex BAPL has also allotted equity shares to the shareholders of Propel viz. Welspun Corps as per the scheme of arrangement under the approved resolution plan.
The company's re-constituted board of directors also executed a Business Transfer Agreement and hived-off its Auto Business to Plastauto Private Limited for Rs 110 crore.
The acquisition will help Propel be in line with the company's strategic roadmap to transform and expand the company's business into building material space.
Sintex BAPL
Sintex BAPL Limited (“Target”) is a part of Sintex group which has diversified businesses across Plastics, Textiles, Power (Thermal) & Infrastructure (EPC).
SBAPL is known for their Water Storage Tanks (WST), which has a strong foothold over consumers in the Water Tank market and brand connect.
The consolidated turnover of the Target for the year ended March 31, 2022 is Rs. 934 crore.
