Welspun Corp completes acquisition of 4.11% stake in Welspun Specialty for ₹108.96 crore

Homegrown Welspun Corp Ltd on Monday (December 22) announced the completion of its acquisition of 2.72 crore equity shares, or 4.11%, in its subsidiary Welspun Specialty Solutions Ltd (WSSL) from the existing promoter group, comprising MGN Agro Properties Private Ltd and Welspun Group Master Trust, at market price.

The acquisition was executed through a block deal for an aggregate consideration of approximately ₹108.96 crore. Following the transaction, Welspun Corp’s equity stake in WSSL has increased from 51.06% to 55.17%.

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The company stated that the aggregate holding of the promoter and promoter group in WSSL remains unchanged before and after the transaction.

Second Quarter Results

Welspun Corp Ltd reported a sharp 53.2% year-on-year increase in consolidated net profit at ₹439 crore for the second quarter, compared to ₹287 crore in the same period last year.

Revenue grew 32.5% year-on-year to ₹4,373 crore from ₹3,301.8 crore, while EBITDA rose 47.7% to ₹590.8 crore against ₹400 crore a year ago. The EBITDA margin stood at 13.5% for the quarter, up from 12.1% in the corresponding period last year.

Shares of Welspun Corp Ltd ended at ₹804.50, up by ₹3.47, or 27%, on the BSE.

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