Praj completes acquisition of water treatment arm

By Bhawna Gupta

  • 25 Aug 2015
VCCircle_Praj_Industries | Credit: Praj HiPurity Systems has now become a wholly-owned subsidiary of Praj Industries

Praj Industries Ltd, a Pune-based process and project engineering firm, has completed acquisition of water treatment firm Praj HiPurity Systems Ltd by picking remaining 20 per cent stake for around Rs 35.7 crore ($5.4 million), according to a stock market disclosure.

Post this, Praj HiPurity Systems has become a wholly-owned subsidiary of Praj Industries.

In September last year, Praj Industries had hiked its holding to 80 per cent by acquiring an additional 10 per cent stake in the company for Rs 20.4 crore.

It had originally picked 50.2 per cent stake in water treatment company for Rs 64 crore in January 2012. After this in September in the same year, the firm acquired an additional 9.8 per cent stake for Rs 12.49 crore ($2.3 million), taking its holding to 60 per cent.

In September 2013, Praj Industries acquired an additional 10 per cent stake for Rs 20.4 crore and held a total of 70 per cent stake.

Mumbai-headquartered Praj HiPurity designs and manufacturers water treatment systems, and caters to pharmaceutical, bio-pharmaceutical, food & beverage, cosmetics and healthcare industries. It has a manufacturing facility at Wada, Mumbai.

The company was established as Neela Systems Ltd in 1989 and is now part of the Praj Group.

Shares of Praj Industries were trading at Rs 78 each, down 0.32 per cent on BSE in a strong Mumbai market on Tuesday at 1.59 PM.