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Canbank Venture Capital Fund Ltd picks up Minority Stake in Unlisted Rs 200 Cr, M/s Him Teknoforge Ltd

Mumbai, India, April 19th, 2016 — Continuing its method of investing in unlisted firms with high growth potential Canbank Venture Capital Fund Ltd. (CVCFL) via its Emerging India Development Fund, has picked up a minority equity stake in ‘Him Teknoforge Ltd’ (HIM) for a consideration of Rs 30 crore which includes Rs 7.80 Cr towards partial buyout of Equity shareholding held by IFCI Venture Capital Funds Ltd. HIM is a leading manufacturer of Forgings and Machined Components for finish use in Agri-Machinery, Automotives, Railways, Defense and Oil &amp Gas sectors. The solution range comprises of gears, axles, shafts, levers, flanges, assemblies, sub assemblies, non gear/spider kits, and so on.

Explaining the cause for investing in the organization, Mr. K Baskaran, Managing Director, Canbank Venture Capital Fund Ltd. (CVCFL) mentioned, “The Business envisages excellent company potential in widening its product and customer base by undertaking modernization-cum-technology upgradation and expansion at its current plants. The proposed capex will help the business in meeting the demands of its existing consumers for the Machined Elements. This will improve the value addition of HIM’s operations.” He further added, HIM being an established player in the Sector will get the inherent benefits of the exact same.

The Indian forging market has emerged as a major contributor to the manufacturing sector of the Indian Economy, estimated at a lot more than USD 3 billion at present, and approx. 20-25% of the size of the forging industry is attributed to exports. HIM has a great, progressive management which will take the organization to greater heights.

States Mr. Rajiv Aggarwal, Executive Director, HIM, “We have been hunting for funds to expand/upgrade our operations to accomplish the full capacities of the units and also to boost the Solution value/ branding besides escalating our share of business from the current buyers as properly adding new Clients.”. He additional adds that “HIM is capable to provide competitive prices due to its presence in excise-free zone at Baddi (HP) and proximity to key companies of Tractors and industrial cars who constitute about 75% of the company’s company “. The funds from CVFCL shall be deployed towards modernization/further plant and machinery and tools &amp dies at its existing forging and machining units.

HIM has come to be a name of repute more than a period of time for its cutting edge technology, established good quality processes, and all round engineering capabilities. The Business is playing a substantial function in the agri-machinery , automobile and engineering business. HIM has entirely integrated facilities like in-house good quality assurance and testing infrastructure.

HIM caters to major OEM Consumers which contains Mahindra &amp Mahindra Ltd., Escorts Ltd., International Tractors,, Preet Agro, AVTEC, Indo Farm Industries &amp others in Agricultural sector and Ashok Leyland, SML-Isuzu, Bharat Gears, VE Commercials, Oerlikon Group, in Automotive Sector besides Indian Railways &amp Defense. HIM is persistently expanding its customer base and recently the organization has added other prominent customers namely ZF Steering, Brakes India, which will add to the revenues and improve the bottom-line.

The business is preparing an IPO sometime in the next two-three years.

Press &amp Media Contact:
Mitesh M Kapadia
Sentinel Public Relations Pvt Ltd / Sentinel Marketing Solutions
B-603, Samajdeep
Close to Bhanu Park/Seasons Restaurant
Adukia Road, Off S V Road
Kandivli (W), Mumbai 400 067. INDIA
Tel: (91 22) 28625131/32
Cel: +91 98205 03876
Fax: (91 22) 28625133
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