Welspun Enterprises Limited (WEL) promptly reported on August 21st that it has fulfilled the acquisition of 50.10 percent equity shares of Michigan Engineers from Authum Investment & Infrastructure Limited and Sansaar Housing Finance Limited leading to an equity investment of Rs 137.07 crore.
After completion of the initial acquisition of 50.10 percent equity shares of Michigan, Michigan will now be seen as a subsidiary of Welspun Enterprises Limited. Welspun Enterprises, a part of the Welspun World, is an infrastructure development company focusing on Road, Water and Wastewater segmentations. And, Michigan Engineers is an entirely technology-based engineering, procurement and construction company with a laser focus on underground ,water and sewage infrastructure projects. The stake acquisiton had been acquired in accordance with the terms of the Share Purchase Agreement that was inked i.e formally initiated in July, prior this year. The acquisition is in line with the strategy of Welspun Enterprises to grow the water infrastructure business segment and enable its entry into the tunnelling business, the company said. The acquisition would enable Welspun Enterprises to undertake projects relating to micro tunnelling.
The Welspun Enterprises’s latest exchange filing also highlighted that in the earlier years, the company has made its presence in the country’s water and wastewater segment and has built a huge order book of over Rs 6,000 crore for the particular segment. Expressing his views on the recent change of events, Saurin Patel, Managing Director, Michigan Engineers Private Limited, said their collaboration with Welspun Enterprises , “forms an alignment between a financially robust infrastructure developer and a specialized EPC participant in the water and tunnelling sector.”