Chennai-based publicly listed Uniply Industries Ltd, one of the leading plywood and laminate manufacturers in the country, on Wednesday announced acquisition of 100% equity in Vector Projects for a cash and share consideration of R64.12 crore. Vector was started by Umesh Rao over 15 years ago and is one the end- to- end architectural design and interior fit out companies.
Speaking to reporters here, Keshav Kantamneni, CMD, Uniply said the consideration will be paid out as R23.13 crore in stock swap with shares of Uniply, and R40.99 crore through cash payout that will be funded by the promoters and other participants via a private placement.
Post acquisition Vector wil be a wholly -owned subsidiary of Uniply and buyout will be effective April 1, 2016. Uniply has three factories in Chennai.
Kantamneni, a merchant banker, had in his personal acquired Uniply in January 2015 in a R126-crore deal. He acquired a little over 36% from its earlier promoter BL Bengani. In a bid to turn around Uniply and expand product porfolio, Kantamneni acquired a manufacturing facility in Gujarat for R40 crore some months ago.