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Cronimet eyes Turkish acquisition, Board approves

Strengthens its grip on the Turkish markets

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Announcement Corporate
Last Updated : Jan 20 2013 | 10:13 PM IST

Cronimet Alloys India Limited,formerly GMR Ferro Alloys & Industries Limited, engaged in the manufacture of high carbon ferro-chrome for use in the stainless steel industry, has acquired 92% of the total share capital of Atlanta MadencilikVeSanayiTicaretAnonimSiketi, a Company incorporated and registered under the laws of Turkey from Atlanta Natural Resources Pte. Ltd.

The Board of Directors of Cronimet Alloys India Ltd.has approved the acquisition of 57,039 equity shares constituting 92% of the total paid up share capital of Atlanta MadencilikVeSanayiTicaretAnonimSiketi, a Company incorporated and registered under the laws of Turkey from Atlanta Natural Resources Pte. Limited, a Company incorporated and registered under the laws of Singapore for a consideration upto USD 3000000.The Board of Directors of the Company has also approved the draft Share Purchase Agreement placed before it for the aforesaid transaction.

Speaking about this acquisitionMr. PrashantBoorugu, Managing Director, Cronimet Alloys India Ltd. said that, “This acquisition in Turkey represents seven chrome ore and three manganese mines.This strategy of backward integration ensures supply of key raw materials for the company.Needless to mention, that owning the mines willalso result in substantial cost savings for the company thereby boosting the bottom-line, multifold.

About Cronimet Alloys India Ltd. (BSE:532990)
Cronimet Alloys India Limited a Hyderabad based company, engaged in the manufacture of high carbon ferro-chrome for use in the stainless steel industry was incorporated on March 23, 2006.

It’s BSE and NSE listed company with the market cap of Rs.184 cr.

The Company is engaged in the manufacture of high carbon Ferro-chrome for use in the stainless steel industry. The Target Company’s plant has an installed capacity of 25,000 MT with one 6 MVA and one 9 MVA furnace. The Target Company manufactures two standard grades of Ferro chrome i.e. high silicon and low silicon.It produces high carbon ferro chrome, silicomangenese and ferro silicon. The Company's plant is located at Ravivalasa Village, TekkaliMandal, Srikakulam, Andhra Pradesh.

Cronimet Alloys India Limited was formerly GMR Ferro Alloys & Industries Limited.

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First Published: Jun 06 2011 | 7:33 PM IST

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