Better Capital PCC Limited Acquires 70% shareholding in Pranita Engineering Solutions Limited
Better Capital PCC Limited has today been informed of the acquisition of a 70% shareholding in Pranita Engineering Solutions Limited ("Pranita") by Gardner Group Limited ("Gardner"), a company within the BECAP Fund LP (the "2009 Fund") investment portfolio.
Pranita is a manufacturer and supplier of aerospace detailed parts and sub-assemblies, and has had a supply relationship with Gardner since 2007. It is based in Bangalore, India, the major centre of the aerospace industry in India, with Hindustan Aeronautics Limited, the Indian National Aerospace Laboratories, and the Indian Space Research Organisation (ISRO) all headquartered there. The acquisition of Pranita will also provide an opportunity for Gardner to develop business in the growing Indian aerospace market.
Gardner is the UK's largest independently owned supplier of metallic aerospace details and sub-assemblies. Customers include Airbus, Rolls-Royce, GKN, BAE Systems and other major international companies in the aviation sector.
The acquisition of Pranita will provide Gardner with another guaranteed low cost economy source of supply in addition to its existing facilities in Poland. Nick Sanders, Head of Portfolio at Better Capital LLP and Chairman of Gardner commented "The acquisition of a majority stake in Pranita is an important next step in the strategic development of Gardner. Along with our existing facilities in Poland, Pranita provides an excellent low cost source and access to the fast growing Indian aerospace market."
For the financial year ended 31 March 2011, Pranita reported revenue of £0.5 million and EBITDA of £0.2 million. Cash consideration payable on completion by Gardner is £0.5 million, which will be funded from Gardner's current cash reserves.