TRF, a Tata enterprise, has signed an agreement to acquire Dutch Lanka Trailer Manufacturers Limited (DLT).DLT is a trailer manufacturing company based in Sri Lanka. TRF will acquire 51 percent of its equity shares at a consideration of $8.67 million in the first phase. It also plans to sign a Call and Put Option Agreement for the acquisition of the remaining 49 percent of its equity shares at a consideration of $8.33 million.  DLT manufactures trailers in Sri Lanka and sells it to more than 30 countries. After entering into the JV with Tata International in India, it will manufacture and sell trailers in India. Dutch Lanka Engineering Limited, a 100-percent subsidiary of DLT, also has a subsidiary in Oman through which it manufactures and sells trailers in the Middle Eastern markets. TRF recently entered into a shareholder agreement along with Tata Capital and Jasper Industries to form a joint venture-Adithya Automotive Applications. The main objective behind this agreement was to engage in the business of automotive applications to provide end solutions through fabrications and machining for vehicles to be used as tippers, load bodies, trailers, refrigerated bodies, etc. |
