Kolkata-based power transformer maker Marsons Ltd has agreed to acquire a considerable equity stake in a Dubai-based trading company for about $5 million, as per a stock market disclosure.
Marsons did not reveal the name of the Dubai-based firm. It, however, said the trading company has a strong presence in the Middle East and Gulf Cooperation Council (GCG) region which will enable Marsons to explore that market.
“The trading company is active in Iraq which is a potential market for transformers. Hence with the acquisition of a considerable stake in the company, Marsons will benefit,” it said.
Once the acquisition is completed, Marsons will also set up a manufacturing base in UAE.
Incorporated in 1976, Marsons manufactures power, distribution and furnace transformers, among others.
Earlier this month, it had said it is in discussions with a transformer manufacturer in Bangladesh to set up a joint venture and a production facility for transformers in the neighbouring country, without revealing the name of the prospective partner.
The venture in Bangladesh will help the company build client relationship with power utilities in that country, it had said.
Marsons aims capitalise on the Bangladesh government’s plan to enhance the power generation capacity in the country which offers an huge opportunity for the power sector, it had said.
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