Kirloskar Pneumatic Company Limited (KPCL) has successfully completed the acquisition of the remaining 44.74% stake in its subsidiary, Systems and Components (India) Private Limited. The transaction, valued at Rs. 12.55 Crores, marks the transition of the subsidiary into a wholly-owned entity. This strategic move, finalized on May 4, 2026, consolidates KPCL’s ownership and strengthens its operational control over the target entity.
Full Ownership Secured
Kirloskar Pneumatic Company Limited (KPCL) has officially achieved 100% ownership of Systems and Components (India) Private Limited. Following the completion of the 44.74% equity share acquisition from the existing promoter shareholder, the entity is now a wholly-owned subsidiary of KPCL, effective May 4, 2026.
Deal Financials
The acquisition was executed in accordance with the previously established Share Purchase and Share Holders’ Agreement. The total cash consideration paid for the remaining stake is Rs. 12.55 Crores. This investment simplifies the capital structure of the subsidiary and allows for greater integration and alignment with the parent company’s long-term business objectives.
Strategic Outlook
By moving to a wholly-owned subsidiary model, KPCL aims to streamline management and operational efficiencies within the target business. Based in Mumbai, the subsidiary (Systems and Components) continues to be a vital part of the Kirloskar group’s ecosystem, and this full acquisition reflects the company’s confidence in its long-term growth and contribution to the parent firm’s consolidated performance.
Source: BSE
