Tube Investments Acquires 87% Stake in Orange Koi for INR 73 Crores
Filing Summary
Tube Investments of India Limited has announced a strategic acquisition of up to 87% equity in Orange Koi Private Limited for a total consideration of INR 73 Crores. The acquisition involves a combination of purchasing existing shares and subscribing to new shares. Orange Koi specializes in manufacturing precision parts for the medical and defense sectors using metal injection molding and additive manufacturing technologies. The acquisition is expected to be completed by February 28, 2026, subject to conditions precedent. This move aligns with Tube Investments’ strategy to diversify into adjacent business segments.
Tube Investments of India Limited has entered into definitive agreements to acquire up to 87% of the equity share capital of Orange Koi Private Limited. The acquisition involves a combination of purchasing existing shares from current shareholders and subscribing to new equity shares. The total consideration for this transaction is up to INR 73 Crores. The acquisition is structured to occur in a staggered manner, with the initial phase expected to be completed by February 28, 2026, subject to the fulfillment of conditions precedent outlined in the agreements.
The financial terms of the acquisition specify an all-cash consideration for the purchase and subscription of 18,64,778 equity shares of Orange Koi. This transaction represents 87% of the company’s equity share capital. The issued and paid-up equity share capital of Orange Koi stands at INR 0.79 Crores, with a turnover of INR 3.76 Crores for the fiscal year 2024-25.
Orange Koi is engaged in the manufacturing of precision parts for the medical and defense industries. The company utilizes specialized technologies, including metal injection molding and additive manufacturing, to produce high-performance components. This acquisition allows Tube Investments to strategically enter the metal injection molding business, which is identified as a growth opportunity in both automotive and non-automotive sectors.
The acquisition process is expected to be completed by February 28, 2026, contingent upon the satisfactory completion of conditions precedent as per the Securities Subscription and Purchase Agreement. The staggered acquisition approach allows for a phased integration of Orange Koi into Tube Investments’ operations.
Tube Investments of India Limited, a part of the Murugappa Group, is the acquiring entity. The company is a prominent player in the engineering and manufacturing sector, with a diverse portfolio that includes precision steel tubes, automotive and industrial chains, car door frames, and bicycles. The acquisition of Orange Koi aligns with Tube Investments’ long-term strategy to diversify into complementary business segments.
Orange Koi, incorporated on December 11, 2020, focuses on manufacturing precision metal components using advanced technologies. The company operates within the manufacturing industry, specifically targeting the medical and defense sectors. The acquisition is not classified as a related party transaction, and there is no interest from the promoter group in Orange Koi.
Tube Investments of India Limited is a leading engineering company under the Murugappa Group. The company is focused on expanding its business into new segments that complement its existing operations. This strategic acquisition of Orange Koi is part of Tube Investments’ efforts to enhance its capabilities and explore new growth opportunities in precision manufacturing.