Praj acquires 50% stake in Neela Systems
Praj Industries, a global leader in renewable energy and environmental technologies, has acquired a major stake of 50.2% in Neela Systems for Rs 64 crore. The current arrangement allows Praj to further increase its stake in Neela Systems in the future.
Neela, a leader in high purity water segment, has a turnover of approximately Rs 90 crore. The firm has a state-of-the-art manufacturing facility at Thane to build USFDA, UKMCA and WHO compliant systems, Praj Industries said in a filing to the Bombay Stock Exchange. The global reach and involvement of Praj is expected to enable accelerated growth for Neela, it added.
Pramod Chaudhari, chairman, Praj Industries said, " Praj was scouting for acquisitions in the area of water and wastewater treatment since it entered the space in early 2010. Neela is a good fit as it addresses areas wherein Praj wants to build a stronger presence globally."
As per a study conducted by Praj on business opportunities in waste and waste water treatment projects, pharma and F&B sectors are going to be the major focus ares as they have very specific requirement of high purity water and critical wastewater treatment, Neela is a niche player in high purity water treatment for biotech, pharma, life sciences and cosmetics sectors.
Shares of Praj Industries closed at Rs 82.70 on the BSE at the end of today, up 1.04% from their previous close.