Sundram Fasteners to acquire Peiner

Sundram Fasteners has signed an agreement with Bonn-based Textron Deutschland Beteiligungs GmbH (Textron) to acquire 100% share capital of Peiner Umformtechnik GmbH (Peiner) located at Peine, Germany.

According to a release issued by Sundram Fasteners to the BSE today, the agreement will take effect from January 1, 2006.

"The consideration payable by the company is based on a formula agreed upon with Textron, and would depend on the value of assets of Peiner as on December 31, 2005," the release added.

"The company expects that access to customers of Peiner will also help in increasing the export of its products manufactured in India, including fasteners not currently in the manufacturing programme of Peiner. The company will also be able to gain access to retail market through the strong distributor network of Peiner," the release said.