Swiss-Swedish multinational company, ABB Ltd. announced to increase its stake in its Indian subsidiary. The company is planning to increase its presence in the Indian market. The deal is estimated at $965 million.
ABB is going to offer Rs. 900 per share; a premium of 34% over the closing price of
ABB spokesperson, Thomas Schmidt said, “We continue to look at companies in the smaller and mid-sized segment in our core business areas; it is primarily about strengthening in certain geographies for us, or buying technologies or products to round out our product portfolio," ABB spokesman Thomas Schmidt said.
HSBC Securities and Capital Markets Private Limited will overlook the deal. The process will start on
Last year, ABB Limited India registered an estimated revenue of $1.4 billion and $117 million in profit before tax. The company employs 6,200 people.
ABB Ltd sells power equipments to utilities and oil and gas companies. Earlier this month, the company also bought Ventyx, a
Vetyx sells software products to grid operators that would ensure efficient maintenance of energy networks.
At the end of the first quarter, ABB had a cash deposit of $7.1 billion.