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Motilal Oswal private equity invests Rs 45 crore in ElectroMech

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BS Reporter Mumbai/ Pune

Motilal Oswal managed India Business Excellence Fund has invested Rs 45 crore in ElectroMech Material Handling Systems (India)

Private Ltd. Funds managed and advised by Motilal Oswal Private Equity Advisors Private Limited (MOPE), have invested the amount in manufacturer of work shop duty cranes in India and which offers probably the widest range of product spectrum in the cranes industry.

ElectroMech is engaged in the business of design, engineering, manufacturing and installations of Electric Overhead Travelling (EOT)Cranes, electric wire rope hoists, jib cranes and gantry cranes.

Over the past 30 years of its existence, company has supplied in excess of 4,000 cranes.

 

ElectroMech has tie-ups with companies like ABUS & Stahl (EX) from Germany, Sibcranex from Russia, and Shuttlelift from USA; to bring in technology, diversify its product offering and increase customer reach.

Since 2010, company has also started providing complete after-market sales and services required for cranes, hoists and related material handling systems of any make through its subsidiary Cranedge.

“Part of the funding has happened now and the rest is happening in two tranches--one now and the next in six months' time. Our preferable route of exit is through an initial public offering but nothing is decided as yet and is quite open-ended from our end," Prakash Bagla, vice president, Motilaa Oswal Private Equity Adivsors Pvt Ltd said.

“ElectroMech's vision is to be the largest industrial crane manufacturer in South Asia in the next 5 years in terms of volumes as well as value. As a result, ElectroMech has aggressive plans to become a Rs 7 billion company over the next 5 – 6 years. The growth would come from expansion of product portfolio and entry into newer geographies like Africa, ME, etc,” Tushar Mehendale, managing director, ElectroMech added.

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First Published: Mar 12 2011 | 12:31 AM IST

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