Japan's Kokuyo has completed the acquisition of Riddhi Enterprises, a Mumbai-based notebook manufacturer, for $8 million. The acquisition was made through Kokuyo's subsidiary Kokuyo S&T Co., Ltd and the business is housed under Kokuyo Riddhi Paper Products Pvt Ltd.
JR Laddha Financial Services Pvt Ltd acted as an exclusive financial advisor to Riddhi Enterprises. Kokuyo was advised by SBI Capital Markets.
The company had entered into an agreement in September to acquire all tangible and intangible assets such as property and buildings, production equipment, sales routes, employees, and licenses of Riddhi Enterprises. Kokuyo said that the executive and organisational structure would change but the current management and employees would be transferred to the new company.
Kokuyo Group forayed into India by acquiring majority shares of Camlin, a major stationery manufacturer in India, in October 2011.
Promoted by Kamal Parekh, Riddhi Enterprises began manufacturing notebooks in 2002. It has a head office and notebook manufacturing factory in Maharashtra and exports all products to the US, South America, the Middle East and Africa; it does not have sales in India.
With the acquisition of this Indian notebook factory in India, the $3 billion Kokuyo Group now has notebook factories in four countries worldwide (Japan, Vietnam and China besides India).
(Edited by Joby Puthuparampil Johnson)