Wipro today announced it has signed an agreement to acquire a majority stake in Brazil-based hydraulic cylinder manufacturer RKM Equipamentos Hidráulicos Ltd.
Subject to customary regulatory approvals, the acquisition is expected to be completed during the quarter, the Bangalore-headquartered company said. Financial details of the transaction were not disclosed.
The acquisition would be a part of Wipro's Infrastructure Engineering division. Wipro Infrastructure Engineering is a global leader in precision engineered hydraulic cylinders and components.
It is a Tier-1 supplier to global original equipment manufacturers of construction and earth moving machinery, material handling equipment, forestry equipment, heavy and medium commercial vehicles, among other industries, across Asia and Europe.
Wipro Infrastructure Engineering President Pratik Kumar said, "Brazil is an extremely attractive market for us, driven by a high growth economy and huge investments in infrastructure over the next few years. RKM provides us an ideal platform to expand and extend our portfolio of offerings in the Brazilian market and well as rest of the Latin America."
Jose Luiz Ramos, the CEO of RKM Equipamentos Hidráulicos, said, "The partnership with Wipro Infrastructure Engineering will give us a wider customer access and expansion opportunities into new-end equipment segments."