Kalpataru Power acquires 51% of Brazil firm

By Swet Sarika

  • 05 Feb 2021
Credit: Pixabay

Kalpataru Power Do Brasil Participacoes Ltd, a wholly owned subsidiary of Kalpataru Power Transmission Ltd, has acquired a 51% stake in Fasttel Engenharia Ltd.

Headquartered in Curitiba, Brazil, Fasttel is engaged in the engineering, procurement, construction and maintenance of power transmission lines and substation and distribution systems of voltage range up to 750 kV. It has so far built over 2,000 km of transmission lines and over 50 substations of voltage up to 750 kV.

The statement said that Fasttel has experienced manpower comprising engineers and workmen. The company has a footprint in around 20 states of Brazil. In 2020, it clocked a turnover of $47.4 million compared with $53.9 million in the previous year.

Kalpataru Power acquired the company to capture the opportunity in Brazil and to expand presence in the Latin American market. It paid $8.80 million for the acquisition through cash.

Kalpataru Power is part of the infrastructure-focused Kalpataru Group. It is engaged in global power transmission and infrastructure engineering, procurement and construction, and operates in more than 50 countries.

The firm provides solutions such as design, testing, fabrication, erection and construction of transmission lines.

Back in 2019, it acquired an 85% stake in Linjemontage i Grastorp AB, a Swedish engineering and construction company.

Last year, Kalpataru Power scrapped the sale of one of its transmission assets to CLP India Pvt Ltd.

It had shown interest in buying debt-ridden Jyoti Structures in 2017 under the Insolvency and Bankruptcy Code. However, it never bid.