Praj acquires majority stake in Neela Systems

06 Jan 2012

Praj Industries Ltd has acquired a majority stake in Neela Systems Limited, for approximately Rs64 crore for a 50.20 per cent stake.

Neela, a Mumbai-based company with business interest in water treatment and modular process systems, is focused on biotech, pharma and personal care industries.

With this stake sale, Neela has become a subsidiary of Praj, it would continue to operate as an independent entity, Praj Industries said in a filing with the Bombay Stock Exchange (BSE).

Neela, a company founded in 1989 by Himanshu Shah, has a turnover of approximately Rs90 crore, including exports. It is a leader in high-purity water segment.

Based in Mumbai, Neela has a state-of-the-art manufacturing facility at Wada, near Thane, to build US FDA, UK MCA and WHO compliant systems.

Himanshu Shah will continue as the managing director of Neela, Praj said in its filing.