Power transformers maker Marsons Ltd on Friday said it is in final stages of talks to seal a $ 5 million (around Rs 33 crore) deal for buying considerable stake in a Dubai-based firm.
“Marsons is in final stages of discussion for taking over a considerable stake in a Dubai-based LLC Trading Company for amount of USD 5 million,” Marsons said in a regulatory filing.
According to the statement, the said trading company has a strong presence in the Middle East and GCG region, which will benefit Marsons to explore the lucrative market of the region.
It is quite active in Iraq, which is a highly potential market for transformers. Hence with the acquisition of considerable stake in the company, Marsons will benefit immensely.
Further, it said Marsons plans to set up a manufacturing base in the UAE region with the help of the Dubai firm, wherein the latter will hold a considerable stake post the acquisition.
Marsons has already started the due diligence process internally and very shortly is going to appoint a local chartered firm for completing the due diligence process enabling to complete the acquisition, it added.
The shares of Marsons were trading at Rs 14.10, up 2.69 per cent in late afternoon session on BSE.