Crompton Greaves receives proposals to buy power businesses in US, Europe

The Mumbai-based Crompton Greaves has announced that it has received non-binding proposals from international firms having interest in industrial & power sectors for acquiring its power business in Indonesia, Europe and North America. The company has also received firm offers for Canadian Power and the American transportation automation businesses (formerly QEI Inc).
 
"These offers constitute firm indication of interest but are subject to due diligence, negotiation and execution of definitive agreements. These are in line with board's strategic intent of focusing on its profitable India businesses and global automation business. The board has reviewed the offers and has constituted a committee of directors to take appropriate next steps," Crompton Greaves said in its filing to stock exchange.
 
Crompton Greaves earns about 55 percent of revenue from domestic operations and rest from overseas business spread in Asia, Europe and the US. Power division contributes around 60 percent of its consolidated revenue. While the company continues to be profitable on a stand alone level (it posted Rs 84 crore in Q4 FY 2015 as against 126 crore in same quarter of last year), it has been making loss in its overseas business.