Asian Paints Ltd has informed BSE that the Board of Directors of the Company at its meeting held on August 08, 2013 have approved the infusion of Rs 99.78 crore for 51% stake in Sleek International Private Limited (SIPL). Post the infusion, the company would hold 51% stake in SIPL, said statement from Asian Paints.
The company would further infuse a sum of Rs 19.69 crore, on August 10, 2013, as a second tranche to this transaction by further subscription to equity shares of SIPL with a corresponding proportionate infusion by the existing promoters of SIPL. On completion of the infusion in the second tranche, the Company would continue to hold 51% stake in SIPL, comapny said.
In March, Asian Paints board had approved in principle to acquire 51% stake in the maker and distributor of kitchens and kitchen components.
Sleek Group manufactures, sells and distributes kitchens and components like wire baskets, cabinets, appliances and accessories through a network of over 30 showrooms and more than 250 dealers across India.
Asian Paints shares were down 1.83% on BSE and traded at Rs 431.4 on Thursday.