Nuvoco Vistas Acquires Algebra Endeavour for INR 200 Crores
Filing Summary
Nuvoco Vistas Corporation Ltd has executed a Securities Purchase Agreement to acquire 100% of Algebra Endeavour Private Limited, the holding company of Vadraj Energy (Gujarat) Limited. The acquisition involves a cash consideration of up to INR 200 crores, with JSW Cement Limited and Alpha Alternatives Holdings Private Limited as involved parties. Algebra Endeavour, engaged in advisory services and investment activities, will become a wholly-owned subsidiary of Nuvoco Vistas. The transaction is expected to close within 10 days post-fulfillment of conditions precedent. This acquisition aligns with Nuvoco’s strategy to utilize Vadraj Energy’s power plants for captive power consumption.
Nuvoco Vistas Corporation Ltd has signed a Securities Purchase Agreement to acquire 100% of the securities of Algebra Endeavour Private Limited. Algebra Endeavour is the holding company of Vadraj Energy (Gujarat) Limited. The agreement involves parties including JSW Cement Limited, Alpha Alternatives Holdings Private Limited, and Algebra Endeavour Private Limited. This acquisition is conducted under Regulation 30 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015.
The acquisition involves a cash consideration of up to INR 200 crores. The financial breakdown includes INR 191 crores payable to JSW Cement Limited and INR 8 crores to Alpha Alternatives Holdings Private Limited. The transaction is structured to be completed within 10 days following the fulfillment of all conditions precedent outlined in the agreement.
Algebra Endeavour is engaged in providing advisory services and investment activities. Post-acquisition, Algebra Endeavour will become a wholly-owned subsidiary of Nuvoco Vistas, thereby becoming a related party. Vadraj Energy, a wholly-owned subsidiary of Algebra, operates power plants in Kutch and Surat. These facilities will be utilized by Nuvoco Vistas for its captive power consumption needs.
The acquisition does not require any governmental or regulatory approvals. The transaction is structured to be at arm’s length, with no related party transactions involved prior to the acquisition. The acquisition aligns with Nuvoco Vistas’ strategic objectives to enhance its energy resources through the integration of Vadraj Energy’s power generation capabilities.
The transaction is expected to close within 10 days from the date of completion of all condition precedents entailed in the Securities Purchase Agreement. The acquisition will result in Algebra Endeavour becoming a wholly-owned subsidiary of Nuvoco Vistas, thereby integrating its operations and resources.
Nuvoco Vistas Corporation Ltd is a leading building materials company in India, focusing on cement, ready-mix concrete, and aggregates. The company aims to expand its operational capabilities and enhance its energy efficiency through strategic acquisitions and resource optimization.