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GMM Pfaudler Ltd. M&A Activity 2022

Dec 9, 2022

61612_rns_2022-12-09_ff7a3b6e-26ed-4e5c-a5d8-a8319797caa0.pdf

M&A Activity

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GMM/SEC/2022-23/67

December 9, 2022

To, BSE Ltd

Phiroze Jeejeebhoy Towers, 1[st] Floor, Dalal Street, Mumbai – 400 001

NSE Ltd

Exchange Plaza, C-1, Block G, Bandra Kurla Complex, Bandra (E) Mumbai – 400 051

Scrip Code: 505255

Symbol: GMMPFAUDLR

Sub.: Acquisition of Mixel France SAS Ref.: Regulation 30 (read with Schedule III – Part A) and 33 of the Securities and Exchange Board of India (Listing Obligations and Disclosure Requirements) Regulations, 2015 (“ SEBI Listing Regulations ”)

Dear Sir/ Madam,

Pursuant to the SEBI Listing Regulations, this is to inform you that Pfaudler GmbH, a wholly owned subsidiary of GMM Pfaudler Ltd (“ Company "), has entered into an agreement on December 8, 2022 for acquisition of Mixel France SAS, incorporated under the laws of France.

Details as required under the SEBI Listing Regulations are enclosed as Annexure A to this letter.

The above is being made available on the website of the Company i.e. www.gmmpfaudler.com.

Kindly take the same on record.

Thanking you.

Yours faithfully,

For GMM Pfaudler Ltd

MITTAL Digitally signed by KARTIK MITTAL KARTIK MEHTA Date: 2022.12.09 MEHTA 08:40:49 +05'30'

Mittal Mehta Company Secretary & Compliance Officer FCS No.: 7848 Encl.: As above

GMM Pfaudler Ltd.

Corporate Office: 902 VIOS Tower, New Cuffe Parade, Sewri-Chembur Rd, Mumbai 400037 Registered Office & Works: Vithal Udyognagar, Anand - Sojitra Road, Karamsad - 388325 O: +91 22 6650 3900 | F: +91 2692 661888 | CIN: L29199GJ1962PLC001171 W: www.gmmpfaudler.com | E: [email protected]

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Annexure A

Sr.
No.
Particulars Details
1 Name of the target entity, details in brief
such as size, turnover etc.
Pfaudler GmbH proposes to acquire 100% of
the share capital of Mixel France SAS and its
wholly owned subsidiary Mixel Agitator Co.
Ltd., incorporated under the laws of China
(collectively known as “Mixel”).
Mixel has a consolidated turnover of
€ 13.2 million as on December 31, 2021.
2 Whether the acquisition would fall within
related party transaction(s) and whether
the promoter/ promoter group/ group
companies have any interest in the entity
being acquired? If yes, nature of interest
and details thereof and whether the same is
done at “arm’s length”
It is not a related party transaction.
3 Industry to which the entity being acquired
belongs
Mixel designs and manufactures customised
mixing systems for a wide range of industrial
applications.
4 Objects and effects of acquisition (including
but not limited to, disclosure of reasons for
acquisition of target entity, if its business is
outside the main line of business of the
listed entity)
The acquisition of Mixel is in line with our
growth and diversification strategy, it further
enhances our product portfolio and also
strengthens our Mixing business by bringing
in additional technology and process know-
how.
5 Brief details of any governmental or
regulatory approvals required for the
acquisition
The acquisition is subject to French law and
will
follow
the
general
principles
of
information and consultation with the works
council.
6 Indicative time period for completion of the
acquisition
February 2023
7 Nature of consideration - whether cash
consideration or share swap and details of
the same
Cash Consideration

GMM Pfaudler Ltd.

Corporate Office: 902 VIOS Tower, New Cuffe Parade, Sewri-Chembur Rd, Mumbai 400037 Registered Office & Works: Vithal Udyognagar, Anand - Sojitra Road, Karamsad - 388325 O: +91 22 6650 3900 | F: +91 2692 661888 | CIN: L29199GJ1962PLC001171 W: www.gmmpfaudler.com | E: [email protected]

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8 Cost of acquisition or the price at which the
shares are acquired;
The acquisition price is € 7,000,000 (Seven
million Euros) and an additional subsequent
payment amount of up to € 500,000
(Five hundred thousand Euros) subject to
certain performance milestones of Mixel.
The acquisition price is € 7,000,000 (Seven
million Euros) and an additional subsequent
payment amount of up to € 500,000
(Five hundred thousand Euros) subject to
certain performance milestones of Mixel.
9 Percentage of shareholding / control
acquired and / or number of shares
acquired
Pfaudler GmbH proposes to acquire 100%
share capital of Mixel France SAS including its
wholly owned subsidiary Mixel Agitator Co.
Ltd.
10 Brief background about the entity acquired
in terms of products/line of business
acquired, date of incorporation, history of
last 3 years turnover, country in which the
acquired entity has presence and any other
significant information
Brief Background:
Mixel
specialises
in
the
design
and
manufacture of standard and made-to-
measure mixing systems used across various
industries and has more than 45,000
agitators installed worldwide. Mixel has two
manufacturing facilities, one in Lyon, France
and the second in Beijing, China.
Turnover:
Financial Year
Turnover in €
2021
13.2 million
2020
8.5 million
2019
12.3 million
Financial Year Turnover in €
2021 13.2 million
2020 8.5 million
2019 12.3 million

GMM Pfaudler Ltd.

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Corporate Office: 902 VIOS Tower, New Cuffe Parade, Sewri-Chembur Rd, Mumbai 400037 Registered Office & Works: Vithal Udyognagar, Anand - Sojitra Road, Karamsad - 388325 O: +91 22 6650 3900 | F: +91 2692 661888 | CIN: L29199GJ1962PLC001171 W: www.gmmpfaudler.com | E: [email protected]