BS Limited to Acquire Four Companies' Operative Businesses for INR 937 Crores

HYDERABAD, India, May 21, 2015 /PRNewswire/ --

- FY15 PAT up by 6.8% at INR 75.19 Crore 

- Total Income up by 16% at INR 2,673.15 Crore 

Consolidated Result Highlights

For the Year Ended March 31, 2015 (FY15):

- Total Income of INR 2,673.15 crore, registering y-o-y growth
of 15% 

- EBIDTA of INR 295.29 crore , y-o-y growth of 23.90%

- PAT of INR 75.19 crore, y-o-y growth of 6.8%

- EPS for FY15 stood at INR 1.71 compared with INR 1.60 for FY14

BS Limited, a leading and listed integrated services provider for power transmission and distribution, today announced its plan to acquire synergetic and operative assets from four companies at Rs 937 crores that will enable the company to become an end-to-end service provider in the power T&D sector with enhanced capability in tower infrastructure manufacturing and EPC in power and railways.

BS Limited had a healthy increase of 6.8% in its net profit to INR 75.19 crore on a consolidated basis for FY15 compared with INR 70.37 crore in the last fiscal. Total income for the full year stood at INR 2,673.14 crore, up by 15%, compared with INR 2,320.72 crore in the previous fiscal.

On a standalone basis, the revenues came in at INR 1904.92 crore, a rise from INR 1770.38 recorded in the previous year. Similarly, net profit stood at INR 68.58 crore in FY15 on a standalone basis, up 9.3% from the previous quarter.

The Board of Directors of BS Limited has also approved a synergetic business proposal aimed at expediting growth through inorganic expansion that will enable the company to become an end-to-end service provider in the power T&D sector - one of the largest integrated players in the country. Subject to customary conditions including regulatory and statutory approvals, the company will acquire different operational businesses including tower manufacturing, component manufacturing such as anti-theft fasteners, steel structures, transmission line hardware, etc., and related EPC businesses.

At an aggregate net consideration of INR 937 crores, BS Limited proposes to acquire operative businesses from Agarwal Steels Structures India Private Limited, Durafast Automotive Private Limited, NHS Metals Private Limited, and Rajesh Sandhi Infras and Metals Private Limited. The acquisitions are to be undertaken through slump sale from the respective sellers.

The proposed transaction will significantly improve bidding capability, provide sustainable operational and financial synergy benefits and facilitate scaling up the value chain, apart from expansion into railway electrification under EPC, by BS Limited.

Commenting on developments, Mr. Rajesh Agarwal, the Chairman and Managing Director, said, "The Board has been evaluating different inorganic options for potential of backward and forward integration which will suit the strategic objective of the Company. The proposed acquisitions are expected to benefit the Company through improvement in bidding strength, enhanced cost control, expansion into railway electrification under EPC, operational and financial synergies and strengthen the foothold of the company in the industry. With this acquisition, the company aims to achieve revenues of INR 10,000 crore in the next two-three years."

About BS Limited:  www.bslimited.in  BSE: 533276 NSE: BSLIMITED

A leading and listed infrastructure company, BS Limited, has been augmenting its core business in power and distribution through EPC, turnkey services and BOOM projects. Headquartered at Hyderabad, BS Limited has pan-India presence with over 800 employees. The company has an integrated business model with a tower manufacturing facility of installed capacity of 240,000 MTPA and a structural steel mill with an installed capacity of 120,000 tons a year located near Hyderabad. The company is certified with Quality Management (ISO 9001:2008), Environmental Management (ISO 14001:2004) and Occupational Health and Safety (OHSAS 18001:2007).

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