CG Power & Industrial Solutions to acquire majority stake in G G Tronics

CG Power & Industrial Solutions (CG) has today i.e. 24th July, 2024 entered into definitive agreements for acquisition of 55% stake of G G Tronics (GGT) through a combination of purchase of equity shares from the Promoters of GGT and by way of subscription to Compulsorily Convertible Preference Shares for an aggregate consideration of up to Rs 319.38 crore.

This acquisition is in line with CG's strategic intent to expand its Railway product portfolio by diversifying into closely related or adjacent areas poised for growth. The integration is anticipated to leverage synergies between the companies. CG's extensive expertise in manufacturing, engineering, and project management, complemented by GGT's specialized knowledge in Railway Transport Safety, particularly in the Train Collision Avoidance System 'KAVACH,' and embedded systems will enable CG to actively pursue KAVACH' and other Rail Safety projects, in the areas of Electronic Signalling sector through this vehicle.

 

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