Ice Make Refrigeration partners with Japan's Galilei Holdings for strategic investment, JV

Ice Make Refrigeration Ltd has said it has entered into definitive agreements with Galilei Holdings Co. Ltd., a Japanese company listed on the Tokyo Stock Exchange, for a strategic investment and a joint venture aimed at accelerating the company's long-term growth strategy.

According to a statement by the company, Galilei will invest Rs 180 crore through a preferential issue of equity shares, while Ice Make will also raise Rs 10 crore from other investors through a preferential issue. The transaction is subject to shareholder approval, in-principle approvals from the stock exchanges, and customary closing conditions.

The company also announced the formation of a joint venture in which Galilei will hold a 60% stake and Ice Make will hold the remaining 40%. The joint venture will focus on manufacturing, marketing, and distributing commercial upright refrigerators, commercial table refrigerators, and related refrigeration products, combining Galilei's global technology and product expertise with Ice Make's strong market presence in India.


According to the company, the proposed fundraise will support capacity expansion, modernisation of existing operations, and the scaling of integrated refrigeration and cold room solutions to cater to growing demand across multiple industry segments.

The company said it will also evaluate, select inorganic growth opportunities in the refrigeration, cold chain and allied sectors to strengthen its market presence and enhance its technological capabilities. A portion of the funds shall be deployed towards investment in a proposed joint venture with Galilei, aimed at accelerating business expansion and unlocking new opportunities. The fundraising will additionally support the completion of the Company’s new corporate office, Centre of Excellence, and state-of-the-art development and testing laboratory, reinforcing its focus on innovation, research, and operational excellence.

The company added that part of the funds will also be used for repayment and/or prepayment of certain borrowings, strengthening its balance sheet, improving financial flexibility and supporting future growth initiatives.

KPMG acted as the exclusive financial advisor, while Cyril Amarchand Mangaldas acted as the legal advisor to Ice Make for the transaction.