Lloyds Engineering Works Ltd has recently informed exchanges that the company has signed an MOU to acquire the Engineering Division of Bhilai Engineering Corporation Ltd (BECL).
The acquisition is set to be completed without debt and would enhance LEWL’s manufacturing capacity by 2.4 times. The company, which is renowned for its expertise in metallurgy, mining and defense, will offer LEWL a larger factory floor space and open areas for huge projects. LEWL expects the acquisition to pay back within three to four years.
Shreekrishna Gupta, Executive Director of Lloyds Engineering Works Ltd, stated, ” We are delighted to integrate the BECL engineering division into Lloyds Engineering. This acquisition is a strategic move that will not only boost our production capabilities but also exponentially multiply the area under our operations at an attractive cost. We have been exploring several opportunities of expansion and takeovers and this meets a lot of our criteria with a large existing floor area and open areas to carry out oversized projects. The synergies between BECL’s engineering division and our existing business are clear, and this integration will propel us towards a definitive and accelerated path of growth. Lloyds is continuously innovating and expanding, and this acquisition marks another step forward in our remarkable journey.”
