Modi Rubber Ltd has sold its entire 7% stake in Xerox India Ltd to The Netherlands-based Xerox Investments Europe BV for Rs 25.09 crore (around $3.8 million), the company said in a stock exchange filing.
Xerox India and Xerox Investments Europe BV are subsidiaries of US-based Xerox Corporation. As on 31 March 2016, the promoter group entities Xerox Ltd, XC Trading Singapore Pte Ltd and Xerox Developing Markets Ltd together held 89.29% stake in Xerox India.
Xerox provides centralised print services, transactional printing, document and data processing, managed print services, workflow optimisation and automation.
Established in 1971, Modi Rubber was originally an automobile tyre and tube manufacturing firm. In July 2011, the company sold its fully-owned subsidiary Modi Tyres Company Ltd to German tyre maker Continental AG for Rs 135 crore which included a non-compete fee of Rs 17.23 crore.
In November 2012, Modi Rubber formed a joint venture with Japan’s Asahi Organic Chemicals Industry Co. Ltd to set up Asahi Modi Materials Pvt. Ltd. Asahi Modi Materials is involved in the manufacture of resin-coated sand used by automotive and non-automotive original equipment manufacturers in the Indian and overseas market, according to its website.