Suprajit Acquires Wescon Controls USA: Suprajit acquired US-based Wescon Controls, manufacturer of control cables in the non-automotive Outdoor Power Equipment (OPE) space by purchasing 100% outstanding equity share capital from Shell Topco LP managed by a private equity fund- Nova Capital, UK for an enterprise value of US$ 44.4 Mn.

Expected Synergies from the deal  - Diversification of segments: Suprajit primarily caters to automotive cables through both domestic channels and exports; and with this acquisition, they have the scope to expand to other non-automotive sectors scaling up to 20% of their revenue chunk from a nominal portion. Enhanced geographical presence: Wescon, being positioned in North America, lays road for Suprajit to expand its presence across those regions. Similarly, Suprajit’s presence in Europe and Asian countries will be an added advantage to Wescon. Capacity scale-up and Technological Up-gradation: The overall capacity is expected to reach 250 Mn cables from the current 225 Mn cables. Further, it enables exchange of technical competence between the two. Supply chain strategies to bring in purchasing benefit for Wescon whilst paving way for cross selling strategies for Suprajit. This Suprajit Wescon deal is expected to get consolidated and the full quarter financial impact starting Q3FY17E.