Titagarh Rail Systems Limited’s shares were up by 1.95 per cent after the company along with Amber Group reported an alliance. The collaboration involves a joint investment of up to ₹240 crore in a special purpose vehicle (SPV), where TRSL and Amber Group’s subsidiary, Sidwal Refrigeration Industries Pvt Limited, will acquire equal control.
This venture aims to establish a facility in India for manufacturing critical railway components and subsystems essential for railway and metro coaches.
The company informed that the alliance extends beyond Indian borders, with both companies joining hands with Invitalia, the investment arm of the Government of Italy, to invest in Titagarh Firema. This move is geared towards expanding their footprint in European markets.
Also read: Bank Nifty prediction today – Jan 25, 2024: Index retains bearish bias, sell futures
The company reported that the partnership is about combined management expertise, cost competitiveness, and mutual growth. Both the companies are planning to set up facilities in India for manufacturing components and subsystems.
Umesh Chowdhary of Titagarh said, “Coming together of our groups adds immense value to our independent business strategies where the sum of the parts will be much larger that the parts themselves. Joining of a strong group like Amber in Firema will accord strength to the overall business development and growth of Firema and the fact that the Italian government has agreed to co invest is a strong sign of the importance of the venture. It has been our stated business strategy and objective to achieve backward integration into key components and subsystems and this partnership with the Amber group will enable us to achieve our goals”.
The shares were up by 1.95 per cent to ₹1,111.80 on the BSE.