Business Daily from THE HINDU group of publications
Saturday, Feb 10, 2007
ePaper


News
Features
Stocks
Cross Currency
Shipping
Archives
Google

Group Sites

Corporate - Mergers & Acquisitions
Valecha Engg enters pact with Koon Holdings of Singapore

Our Bureau

To become eligible for acquiring controlling stake


VEL will undertake all its international business through Koon and use the firm's expertise in marine, dams and reclamation works.

Advertisement
Bharat Matrimony

Mumbai Feb. 9

Infrastructure development company Valecha Engineering Ltd (VEL) has signed an agreement with Koon Holdings Ltd of Singapore, which will qualify it to acquire controlling stake in the foreign entity.

Under the agreement, Koon will acquire a stake in VEL and its subsidiary Valecha Infrastructure Ltd (VIL), apart from VEL's international assets in Dubai. In return Koon shall issue 12.4 crore ordinary new shares to VEL, taking its holding above 60 per cent in Koon. In addition, VEL shall also be granted 20,000,000 warrants.

Additional Qualification

Mr Jagdish Valecha, MD, Valecha Engineering, said: "We will get reach in the West Asia and Asia-pacific markets through this acquisition and it will give us additional qualification for marine and reclamation works."

He added that it would also be able to access the Australian and Singapore capital markets for VEL's global growth, as Koon is a listed entity in both theses exchanges. After the completion of the transaction, Koon will own VEL's international interest, about 48 per cent shares of VIL and about 5 per cent shares of VEL, while VEL will own about 60 per cent of Koon's enlarged share capital.

VEL will be maintaining Koon as an independent operating entity with its listing on the Australian and Singapore exchanges. VEL will undertake all its international business through Koon and use the foreign firm's expertise in marine, dams and reclamation works.

More Stories on : Mergers & Acquisitions | Overseas Investments | Engineering

Article E-Mail :: Comment :: Syndication :: Printer Friendly Page



Stories in this Section
ONGC suspends drilling campaign in Mahanadi basin


Ranbaxy to make, sell depression pills in US
Apollo launches new scan method
BSEL Infra to build housing towers in UAE
Thales bags $60-m order
Nimbus challenges sports feed Ordinance
Managing IT infrastructure with business needs vital: Study
De-merger a four-year-old issue, says Bajaj
Suzlon Energy bids for Germany's REpower
Revathi Equip buys majority stake in Bangalore co
Ex-MD may bid for stake in Punjab Tractors
Valecha Engg enters pact with Koon Holdings of Singapore
RSWM on expansion mode
Corus vs Hutch: The inevitable comparison
Samsung keeps $100 m for Chennai facilities
Marvel Car Wash to open stations in India
FIPB rejects Visa Minmetal's plan to undertake high sea sales
Buddhadeb urges Singur farmers to discuss issues
Jupiter Aviation inks pact with EADS
ONGC, Gazprom agree to jointly explore oil & gas fields
HPCL, Wockhardt Hospitals in pact
Garware Offshore, Havyard MoU
Medreich, S. African co in joint venture
L&T, EADS to work together
Raytheon, Tata Power tie up
Move to set up more WaterHealth centres
Sadya 2007: Corporates champion a noble cause
Pacific Institute biz tools for India
DuPont to bring fluorine intermediates to India
Vizag Steel Q3 sales up at Rs 2,229 cr
New ICAI council member


The Hindu Group: Home | About Us | Copyright | Archives | Contacts | Subscription
Group Sites: The Hindu | The Hindu ePaper | Business Line | Business Line ePaper | Sportstar | Frontline | The Hindu eBooks | The Hindu Images | Home |

Copyright 2007, The Hindu Business Line. Republication or redissemination of the contents of this screen are expressly prohibited without the written consent of The Hindu Business Line