KPTL acquires Linjemontage i Grastorp AB, a Swedish EPC company specialised in Power supply solutions and services

Mumbai, March 25, 2019: Kalpataru Power Transmission Limited (KPTL), a leading global EPC player in the power and infrastructure contracting sector, today announced that its wholly owned subsidiary in Sweden namely Kalpataru Power Transmission Sweden AB has signed definitive agreement to acquire 85% Equity stake in Linjemontage i Grastorp AB for an enterprise value of USD 24 Million. Linjemontage i Grastorp AB, was founded in 1993, specializes in power supply solutions and services for electricity networks up to voltage range of 400 kv. The Company mainly operates into three main business areas, comprising of Substation, Transmission & Local Networks and Electricity Network Services with revenue of around SEK 700 Mn (around USD 75 Million) in 2018 and has a profitable track record. The Company has presence in Sweden & Norway with an order book of around SEK 710 Mn (around USD 77 Million) as on date. The acquisition of Linjemontage i Grastorp AB is in-line with KPTL’s stated objective of growth and greater geographical presence in stable and growing markets with focus on core power transmission segment. The transaction is expected to close in the first quarter of FY2019-2020. Commenting on the acquisition, Mr. Sanjay Dalmia, Executive Director, KPTL said “We continue to expand our geographical reach aligned to our vision of being a local player in the global environment. This acquisition has been carried out on grounds of strategic fit both to capture local market opportunity and to help us in expanding our presence in Nordic countries where we have no former presence. This strategic acquisition will also help KPTL with greater access to technology and EPC capability to take turnkey projects in Nordic countries and Europe. Linjemontage has a consistent track record of revenue growth around 15% CAGR over last 5 years along with consistent profitability.