V-Guard Industries, a major player in the electrical and home appliance industries, announced on Friday that it will buy Sunflame Enterprises for Rs 660 crore in cash.
The purchase of Delhi-based Sunflame will enable V-Guard to expand its kitchen appliance business and realise synergistic benefits.
The fact that Sunflame is debt-free and has about Rs 50 crore in cash on hand that is not included in the sale suggests that the selling company’s promoter will withdraw that money before the purchase is finalised. Its top line for FY22 was Rs 350 crore.
Cooktops, chimneys, pressure cookers, mixer grinders, small kitchen appliances, and other products are all part of Sunflame’s diverse brand range.
This news is written by Ms. Amrita Singh, Research Assistant, All India Legal Forum.