Mumbai-based Choice Equity Broking Private Ltd has entered into an agreement to acquired 100% stake in New Delhi based Escorts Securities Ltd, a Choice statement said, Thursday.
Escorts, the listed auto major was holding 40.44% stake in the brokerage subsidiary while the rest was being held by its group companies.
According to the corporate filing by Escorts with the BSE, the consideration for the 40.44% stake was ₹5.17 crore, which indicate that the overall consideration paid would be ₹13 crore.
“The buyout shall bring in operational synergies and shall augment the profitability of Choice Equity Broking with its increasing clientele,” said Kamal Poddar, managing director of the BSE-listed Choice International and the holding company of Choice Equity Broking.
The article was first published on livemint.com