Mold-Tek Technologies have been on hunt for acquisition in US for long time and finally they are able to do one. This will may boost their bottom and top line in short to medium term and also allow better utilzation of idle resources.
- Beryl Project Engineering, ~40-member engineering firm based in Tampa, Florida.
- Purchased for $2.7 mn + working capital adjustments
- Bought around 0.5x revenue** and 7x EBITDA
- Existing promotor also planning to invest more equity in Mold Tek Tech, which is positive sign.
Announcement here: https://www.bseindia.com/xml-data/corpfiling/AttachHis/cac5a3ed-e36d-4b52-95be-54c4d363f798.pdf
Overall this seems positive development for company and one of the initial steps towards much anticipated growth phase. Would need to watch out next couple of quarters about how this unfolds.
Disc: Entered recently and around 5% of PF
3 Likes
Announcement of Preferential issue at 164/-
This will be a preferential allotment to the erstwhile promoters of Beryl. In the last con call, the management mentioned that they are in the process of obtaining the necessary approvals to facilitate this. The objective is to enable the existing Beryl management to acquire an equity stake in Mold-Tek Technologies.
From a long-term perspective, this appears positive, as it ensures that the U.S.-based management has meaningful skin in the game and remains aligned with the company’s long-term growth plans.
2 Likes
Moldtek seems to be getting back on track. Turnaround quarter as indicated in last concall by management. Few points from Aug 6 concall
1 Reduced employee cost cause of MES downsizing
2 Civil work on hand is 4.4 million USD as against 2.7 million USD last year
3 Hiring in power transmission distribution work. Mention of data centres
4 Beryl integration taking some time. Should show positives by Q3/Q4 timeframe
5 Trying to acquire structural engineering firm with more PEs
Invested and biased
2 Likes
