Stalwart Advisors

CG signs SPA to sell International T&D Biz.

We had earlier reported that Crompton Greaves(CG) has entered into a binding agreement to sell its international Transmission & Distribution business i.e. Europe, North America and Indonesia with First Reserve for an Enterprise Value of Euro 115mn.

CG has now informed the exchange that it has signed share purchase agreement (SPA) with Pauwels Spaco Ltd. an SPV of First Reserve and expects completion of the deal by 31st October 2016 subject to shareholder and regulatory approvals.

We believe this is a very positive move and should help CG strengthen its P&L, Balance sheet as well as bring back focus to domestic operations.


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