Kalpataru Power Transmission Ltd (KPTL) in a stock exchange filing said that it has completed the acquisition of Brazilian company Fasttel on April 7, 2021.
In the first week of February 2021, KPTL had announced that it was acquiring 51 per cent equity stake and management control in Brazilian EPC company Fasttel Engenharia Ltda, popularly referred to as Fasttel and headquartered in City of Curitiba, State of Paraná. KPTL had then indicated that the transaction was likely to close in the first quarter of FY21.
The acquisition was done by Kalpataru Power Do Brasil Participacoes Ltda, a wholly-owned Brazilian subsidiary of KPTL. The acquisition cost is estimated at around $8.8 million.
Three Areas of Business
Founded in 1988, Fasttel specializes in engineering, procurement, and construction (EPC) and maintenance of power transmission lines, substation and distribution systems across various voltage ranges up to 750kV.
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The company mainly operates into three business areas, comprising of EPC of substation, transmission and distribution network services with revenue of around $47 million in 2020 and has a profitable track record. The company has presence in Brazil with an order book of around $95 million as on date, KPTL had said in February this year.
Core Business
The acquisition of Fasttel is in line with KPTL’s strategy to strengthen its core EPC business and have greater geographical presence in stable and growing markets.
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