Escorts takes 40% in Japanese Agri-machinery company
The Competition Commission of India (CCI) has approved investment by Japan’s Kubota Corp in Escorts Limited on 10 July 2020.
The approval also covers Escorts’ investment in Kubota Agricultural Machinery India Private Limited (KAI) under Section 31(1) of the Competition Act, 2002.
The Proposed Combination is relating to the acquisition of 9.09% of the total issued, subscribed and paid-up share capital of Escorts by Kubota.
Upon completion of the capital reduction process by Escorts, this will constitute 10% of its total issued, subscribed and paid-up share capital.
Further, Escorts will acquire 40% shareholding in KAI.
Accordingly, Kubota and Escorts will hold 60-40% shareholding in KAI, respectively.
Kubota is a comprehensive agriculture product manufacturer and offers various machinery such as tractors, combine harvesters and rice transplanters.
Kubota also offers engineering, procurement, construction to maintenance, contributing to the safety and security of water.
Escorts is a public limited company incorporated in India. Escorts’ shares are listed on the BSE and the National Stock Exchange of India. It is engaged in the business of manufacturing and sale of agri-machinery, construction equipment and railway equipment in India. #agriculture #farmers #Japan #kubota #escorts /fiinews.com