Kirloskar Oil Engines to acquire balance equity stake in La Gajjar Machineries
Date : September 21, 2022
Kirloskar Oil Engines Limited (KOEL) will acquire the balance equity stake in La-Gajjar Machineries Private Limited (LGM), Ahmedabad, the company said on Wednesday. The company acquired a 76 percent stake in LGM in 2017 with an agreement that the balance holding will be acquired by it over a five-year period.
By completing the acquisition, LGM will become a 100 percent subsidiary of KOEL. "With a strong management team in place, LGM will focus on building this business to its real potential, deepening and widening its reach and leveraging KOEL’s expertise in channel, service, manufacturing, and R&D to build a world-class and self-sustaining organization," the company said.
KOEL manufactures diesel engines, farm equipment, and generator sets and has a sizable presence in international markets. It also manufactures diesel engines for construction equipment. The company specializes in manufacturing air-cooled and liquid-cooled engines for diesel generator sets across a wide range of power outputs (2kVA to 1500 KVA).
Ahmedabad-based La-Gajjar is a submersible and monoblock pump manufacturer in the country with established brands “Varuna” and “Raindrop” and a pan-India distribution setup.