"Our board has approved the acquisition," Gupta said. This will be the company's first overseas acquisition and comes after three months of intense deliberations with numerous European companies.
"The acquisition has been made keeping in view the tremendous synergies that are common to the group and the new company. This move will give us a headstart in southern and eastern Europe," he said.
The new acquisition has 20 per cent market share in Greece's electrical switch gear segment and a strong presence in southern Europe.
Havell's intends to leverage the newly acquired company's brand and its existing distribution network to its advantage.
He, however, did not divulge the name of the new acquisition. "It is sensitive to disclose at the moment as due diligence is on. We will give further details once the memorandum of understanding for the acquisition is signed, subject to due dilligence."
Havell's India is the lead supplier enjoying a 33 per cent market share in switchgear OEM segment.
The European market currently contributes close to 40 per cent of the total export turnover of Havell's India across its product segment.
