The company made the announcement after market hours on Thursday, 2 May 2013.
Meanwhile, the S&P BSE Sensex was down 76.26 points or 0.39% at 19,659.51.
On BSE, 32,000 shares were traded in the counter as against average daily volume of 1.94 lakh shares in the past one quarter.
The stock hit a high of Rs 94.15 and a low of Rs 93.10 so far during the day. The stock had hit a 52-week high of Rs 141.70 on 8 October 2012. The stock had hit a 52-week low of Rs 87.25 on 10 April 2013.
The stock had underperformed the market over the past one month till 2 May 2013, sliding 3.57% compared with the Sensex's 3.65% rise. The scrip had also underperformed the market in past one quarter, declining 12.32% as against Sensex's 0.23% fall.
The mid-cap company has equity capital of Rs 128.30 crore. Face value per share is Rs 2.
The joint venture (JV) will be owned 51% by Crompton Greaves (CG) and 49% by PT Prima Layanan Nasional Enjinring (PLNE) and will be a part of CG's global organization. (PLNE) is an engineering company owned by PLN (Perusahaan Listrik Negara), an Indonesian government-owned sole electricity utility company.
The JV includes a technology transfer by CG over a period of five years for the production of the entire range of switchgear for the network, from 70 kilovolt (kV) to 500kV, and will be localized through CG's new manufacturing base in Indonesia. Production is expected to commence in 24 months. The focus of the collaboration is to enhance the sustainable operation of the entire transmission and distribution grid in Indonesia. CG's equipment portfolio will also include the production of high voltage (HV) and extra high voltage (EHV) Switchyard equipment, the range of SF6 circuit breakers, current transformers, inductive voltage transformers, capacitor voltage transformers and lightning arresters. The products manufactured in the new facility in Indonesia will be distributed through CG's marketing network in the South-East Asian markets and the Pacific Region.
Commenting on the JV with PLNE, Laurent Demortier, CEO and Managing Director of CG said, "This joint venture is an important milestone in CG's expansion strategy. We are very proud to team up with PLNE to set up a state-of-the-art manufacturing base in Indonesia. We believe our collaboration will allow the development of a new series of products well-suited for the Indonesian and South East Asian markets".
CG said it has been committed to the Indonesian market since 1992 and has been a preferred local and principal manufacturer of power transformers with an installed capacity of 10,000 MVA per annum in Indonesia. The installed generation capacity of Indonesia is expected to double to 84 GW by 2020. The estimated market base of HV and EHV switchgear equipment in South-East Asia and the Pacific Region is predicted to exceed $500 million in the coming years.
Crompton Greaves reported consolidated net loss of Rs 189.36 crore in Q3 December 2012, compared with net profit of Rs 77.14 crore in Q3 December 2011. Net sales declined 1.9% to Rs 2971.83 crore in Q3 December 2012 over Q3 December 2011.
Crompton Greaves is a global pioneering leader in the management and application of electrical energy. With more than 15,000 employees across its operations in around 85 countries, CG provides electrical products, systems and services for utilities, power generation, industries, and consumers. The company is organized into four business groups: Power, Industrial, Automation and Consumer.
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