Allied Digital Services Ltd has entered into a definitive agreement with the UK-based Regenersis Group to divest its entire 52.6% stake in its subsidiary, Digicomp Complete Solutions Ltd (Digicomp), which is providing aftermarket services to global ODMs/OEMs for products in the information, communication and technology sectors.
This divestment of stake has been approved by the board of Allied Digital. As part of the transaction, the Regenersis group will also acquire around 27% stake from other promoter shareholders of Digicomp resulting in an 80% stake purchase on the closing.
BMR Advisors was the financial advisor to Allied Digital and to Digicomp and BMR Legal was the legal advisor for the transaction.
Allied Digital had invested in Digicomp in 2008 as a strategic investor. VCC first reported the development in April this year.
Nitin Shah, chairman and managing director of Allied Digital, said, “The transaction for sale of our investment in one of our most successful subsidiary companies, Digicomp, which is an aftermarket services provider for the ICT sectors, reflects our commitment to continually enhance shareholder value”.
Suresh KS, managing director of Digicomp, said, “We are excited in partnering with Regenersis now which brings in strategic and financial strength on board through repair capabilities in new products such as mobile phones, set top boxes, consumer electronic products, etc along with reach and access to global markets.”
Digicomp is a player in the aftermarket services space with a pan-India presence across 22 cities and over 100 locations through its network of customer walk-in centres and depot repair centres. The company provides repair, refurbishment services, onsite support, asset recovery services to do ‘take back’/‘buy back’ of used IT equipment, meeting service demands of brands such as Dell, Asus, Acer, etc and their customers. Digicomp also supports OEM/ODMs, providing in-warranty and out-of-warranty support, RMA services and reverse logistics.
The Regenersis group is engaged in the business of repairing consumer electronics products such as mobile phones, laptops and tablets, set top boxes and televisions. It also offers repair and refurbishment solutions and aftermarket services.
(Edited by Joby Puthuparampil Johnson)