Pune based Electronica Machine Tools Ltd has raised Rs 25 crore in funding from IFCI Venture Capital’s India Automotive Components Manufacturers Private Equity Fund. The funding would be used to open international offices and for working capital requirements, among others.
Electronica Machine Tools, which was established in 1973, was the first Indian manufacturer of electric discharge machine (EDM) with three manufacturing locations in Pune, and with in-house R&D centre and a specialised technology centre at Switzerland.
The company has revenues of around Rs 70 crore.
Electronica Machine Tools currently manufactures EDMs & CNC wirecut EDMs having installations at major tool rooms in India with 60% market share. It also exports to markets like Latin America, Russia, Middle East and Europe. Electronica Machine Tools also provides automation solution to industries such as automotive, defence, nuclear, food & beverage and pharmaceuticals.
“We are pleased to have IFCI Venture Capital Funds as an investor in our company. The investment has come at the right time when we are prepared to strengthen our overseas presence and also provide high technology automation solutions to identified industry verticals in
India,” said Ravi Ratnaparkhi, managing director of Electronica Machine Tools.
Corporate Finance Associates (CFA) India acted as the sole financial advisor to Electronica Machine Tools on this transaction.
India Automotive Components Fund is a Rs 330 crore fund, half of which has been invested by the parent firm IFCI. LIC has also committed Rs 20 crore to the fund. It has invested in companies like Jagdish Khattar's Carnation Auto, cinema chain Satyam Cineplexes, city gas
distribution firm Sabarmati Gas.