Sheela Foam is set to acquire Kurlon Enterprise for a total amount of Rs 3,250 crore

Sheela Foam Ltd is set to acquire Kurlon Enterprise Ltd in a two-tranche deal worth Rs 3,250 crore. Upon completion of the deal, it is expected to nearly double Sheela Foam's market share, enabling it to reach approximately 40 percent. 

In addition to the market share benefits, the deal is expected to generate cost savings, operational synergies, and capacity optimization at both companies' manufacturing facilities. The consolidation will also enhance Sheela Foam's purchasing power for raw materials, leading to bulk discounts.

The combined impact of these factors is predicted to contribute around Rs 900 crore to Sheela Foam's consolidated revenue. Currently the shares is trading higher by 5% at  Rs 1226.90

The acquisition is anticipated to be finalized within the next few months. Sheela Foam's prominent brands include Sleepwell mattresses, Feather Foam, and Lamiflex. The acquisition will allow the company to expand its presence in the South and East regions, complementing its already strong presence in the North and West. 

 

Content Source: Media reports

Top stories
Budget

Impact of Budget on Common Man

9 mins read . 23 Jul 2024 . 12:22 PM

Budget

Finance Minister Nirmala Sitharaman to Presents Union Budget 2024

3 mins read . 23 Jul 2024 . 09:20 AM

Company

JSW Energy Arm Secures Major Solar and Energy Storage Projects

5 mins read . 23 Jul 2024 . 05:35 AM

Related Blogs
blog-logo

Share Market

blog-logo

8 mins read . 19 Jul 2024

Stock Market Trading Time in India

  • 38 people read
blog-logo

Share Market

blog-logo

11 mins read . 19 Jul 2024

How To Trade in T2T Stocks

  • 38 people read
Kickstart your equities journey today You've got this
By submitting this I agree to the terms & conditions