Reliance India Power Fund buys 15% in transformer co
The $200 m Reliance India Power Fund, a 50:50 joint venture between Reliance Anil Dhirubhai Ambani Group and Singapore-based Temasek Holdings, has acquired a 15% stake in KRYFS Power Component, a Rs 300-crore company manufacturing transformer core...
By Gaurie Mishra, TNN |
NEW DELHI: The $200 m Reliance India Power Fund, a 50:50 joint venture between Reliance Anil Dhirubhai Ambani Group and Singapore-based Temasek Holdings, has acquired a 15% stake in KRYFS Power Component, a Rs 300-crore company manufacturing transformer cores for an undisclosed amount.
KRYFS, manufacturer of transformer cores and patented slingset twin path slings, will utilise the funds for capacity expansion and diversifying into newer businesses through organic and inorganic means. The company manufactures high-tenacity fiber slings in collaboration with Slingmax Inc of USA and currently has a capacity to produce nearly 12,000 MT of transformer cores, wound cores and built up cores.
It also processes transformer cores of rating 25 KVA to 315 MVA. The company currently has two plants-at Palghar in Maharashtra and at Kherdi in Dadra Nagar Haveli. KRYFS Power Components was established as KRYFS Laminations in 1991 and commenced operations at its first factory in Palghar in December 1992.
Reliance India Power Fund is managed by the Rs 4,500-crore financial services company Reliance Capital and has been set up to invest in Indian power ancillary companies. The fund has already made a series of investments including those in Su-Kam Power Systems, EMI Transmission and Ravin Cables.
The fund invested Rs 45 crore in Delhi-based Su-Kam Power Systems for a 20% stake and Rs 50 crore in Mumbai-based EMI Transmission, an unlisted power equipment company, for a 23% stake. Both these companies have utilised the funds for expansion and growth.
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Su-Kam has already made inroads into world markets such as Asia, Africa, Middle East and the Pacific Region and is now looking to make a strategic US acquisition. EMI Transmission is looking at expanding its existing capacity and setting up a new plant in Sharjah and a rubber plant in Nashik. gaurie.mishra@timesgroup.com
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