Biznextindia : Whirlpool of India Ltd. (NSE: Whirlpool; BSE: 500238) has announced that it has entered into a share purchase agreement with Elica S.p.A (MTA: ELC) to acquire an additional stake of 38% in Elica PB India for USD 57 million. Following completion of the acquisition, total equity ownership of Whirlpool in Elica PB will increase to 87%. Whirlpool India initially acquired a 49% equity interest in Elica PB India in 2018.
After the completion of the deal, Elica PB India will become a majority-owned subsidiary of Whirlpool India and its financial statements will be consolidated within Whirlpool India. The transaction is expected to close by the end in the next 3 days. However, both organizations will continue to run their operations similar to their current state.
“We are very excited about this transaction and it is aligned with our ambition to accelerate profitable growth in India. Cooking and built-in appliances are under-penetrated categories and the demand has now accelerated with consumers picking up cooking as a passion and investing more in their kitchens. Our consumers have always been at the heart of our business and now with both Elica and Whirlpool brands, we are in an even better position to improve life at home for them” said Vishal Bhola, Managing Director, Whirlpool India.