The Board of Directors of Schaeffler India Limited (Schaeffler) at its meeting held today has inter alia, approved the sale of chain drive business undertaking of the Company as a going concern on a slump sale basis to CATENSYS India Private Limited (CIPL) for a lumpsum cash consideration of approx. INR 274 Mn. The final consideration is subject to the adjustments as on the date of sale as per the terms of Business Transfer agreement to be executed.
Schaeffler manufactures ball and/or roller bearings and/or assemblers of and dealers in all types of bearing units, engine components, transmission components, clutch related components and other component parts of machinery and accessories in respect thereof.
The Company has evaluated and decided to focus on the business areas having future growth potential and to take strategic options accordingly. In view of the not promising outlook of Chain Drive business, the Company has decided the strategic option of divestment of this business.
- Turnover of the chain drive business is INR 1,070 Mn. for the FY2021
- Turnover of the Schaeffler India Limited (the ‘Company’) is INR 55,605.1 Mn. for the FY2021
- Turnover of the chain drive business is 1.92% of the total turnover of the Company
Net worth details:
- Net worth of the chain drive business is INR 155 Mn. for the FY2021
- Net worth of the Company is INR 36,536.7 Mn. for the FY2021
- Net worth of the chain drive business is 0.42% of the total turnover of the Company