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Pricol offloads entire stake in Coimbatore Metal Works

Auto components maker Pricol has sold its entire stake in wholly-owned subsidiary Coimbatore Metal Works Ltd (CMWL) for Rs 13 crore.

Pricol said it had entered into share purchase agreement the sale of CMWL on January 21, but did not share details about the entity which bought the stake in CMWL.

"Subsequent to the sale, CMWL is no longer a wholly owned subsidiary of Pricol and no longer part of the Pricol Group," Pricol Ltd said in a regulatory filing.

The gross turnover of CMWL for the fiscal ended March 31 2015 stood at Rs 26 crore, which constituted 2.19 per cent of the consolidated turnover of the company, it added.

In a separating filing, the auto component firm said its board has approved amalgamation of its wholly owned subsidiary Pricol Pune with itself.

As part of the amalgamation process, shareholders of Pricol shall be issued one equity share of the face value of Rs 1 each of Pricol Pune, it said.

The company, which has recently unveiled its new brand identity, aims to double its revenue globally by 2020 as it plans to enter new markets through acquisitions and tapping new product segments.

The company had posted revenues of Rs 1,150 core for 2014-15. It aims to close the current fiscal with revenue of around Rs 1,450 core.

Pricol stock closed over 6 per cent up at Rs 44.60 on the BSE.