DIVESTMENT OF A BUSINESS DIVISION ON SLUMP SALES BASIS
News: In a press release, Pricol ltd approved the divestment of its wiping business division to Auto Ignition Limited on a slump sale basis. The transaction involves a consideration of ₹ 20 Crores and is expected to be completed by January 31, 2025, subject to certain conditions. This divestment aligns with Pricol's strategic focus and follows a recent trend of restructuring within the company.
Views: The wiping business division generated ₹ 66.36 crores in revenue during FY24. The transaction is carried out at a P/S of 0.3x and was non-core to Pricol which is now an established technology leader in the instrument cluster space. The buyer, Auto Ignition Limited, a company based in New Delhi, specializes in motors and alternators for the automotive sector.
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