Amtek up on getting an Europe beachhead

DALAL STREET SPIKES

Auto company Amtek Auto witnessed renewed buying interest on back of announcement that the company has a bought a German firm. The stock in intra-day trades hit its all-time high of Rs 204, before closing at Rs 189.95, marginally higher than its Monday close of Rs 187.70. More than 13.6 lakh Amtek Auto shares changed hands on BSE on Tuesday.

Amtek announced that it has acquired 70 per cent equity holding in Zelter GmbH through its wholly owned subsidiary. The company has also entered into agreements with the sellers for buying the balance 30 per cent equity over the next 3 years.

"This is a step towards establishing its presence in mainland Europe after a series of acquisitions in the UK and US," the company in a statement said.

Auto analysts said, Amtek Auto's German acquisition fits into their portfolio and will help them to expand their base in Europe and the US.