Bangalore-based Dynamatic Technologies Ltd, which designs and builds engineering products for aerospace and automotive sectors, has signed an agreement with an unknown buyer for sale of additional non-core assets for Rs 70 crore ($11.9 million), as per a stock market disclosure.
"The sale of the non-core assets is a part of the company’s initiatives to reduce its overall debt, thereby improving its balance sheet. The details of this sale will be announced later," the company said in the filing.
In March this year, the firm had said it has disposed of non-core assets for about Rs 28.54 crore. It had added that similar initiatives underway are expected to reduce overall debt by an estimated Rs 120 crore.
Dynamatic Technologies, which was founded in 1973, manufactures hydraulic gear pumps, hydraulic valves, hydraulic pumping units, custom-made hydraulic solutions, marine power packs, turnkey industrial instrumentation and aircraft ground-support systems.
The firm has three manufacturing facilities, located in Bangalore, Germany and Swindon, UK. The company and its subsidiaries employ around 550 people.
The firm counts among its shareholders Samena Special Situations Fund. Samena holds around 8.5 per cent stake in the public listed firm.
(Edited by Joby Puthuparampil Johnson)