Date:09/09/2008 URL: http://www.thehindu.com/2008/09/09/stories/2008090961071600.htm

Business

Stone India ‘closes in on European acquisition’

Special Correspondent

KOLKATA: Specialised railway equipment manufacturer, Stone India Ltd. (SIL), is eyeing an acquisition in Europe, its CEO and Managing Director, Amitava Mondal, said.

Stone India is part of the G P Goenka group.

The target company is more than double its size, it was learnt.

Talking to reporters after a press conference to announce the new pantographs (current collection device used in railway overhead systems) that SIL has developed for the Indian Railways, Mr. Mondal said that the company was looking for acquisitions in Europe and was close to making its first buy — hopefully within September.

After competing with 93 companies from all over the world, which had participated in the tender that was floated for a total sell-off now, only two companies are in the fray. An India public sector company was also in the race, it was learnt.

Mr. Mondal said that SIL expected to commercialise its unit in Nalagarh in Himachal Pradesh within this month. A sum of Rs. 25 crore would be invested in phases by March 2010 in addition to the Rs. 10 crore already invested.