The company will acquire S&C for a cash consideration of Rs 15 crore in one or more tranches.

The acquisition of this stake will empower KPCL to scale up its business and expand into adjacent segments related to its current operations, added the firm.

The company stated that the acquisition is in the similar line of business i.e. Refrigeration.

The transaction is expected to be consummated within the next three months, subject to due diligence and closing adjustments.

V. Sundararajan, the current promoter and technocrat, will remain invested in the company and assist in scaling up the business.

S&C has been in the industrial refrigeration business for over 30 years, with more than 700 installations across India in the dairy, pharmaceutical, chemical and fertilizer industries. Their manufacturing plant is located at village Patgaon, near Murbad, Maharashtra.

Kirloskar Pneumatic Company has three divisions: air compressors, refrigeration and gas compressors, and transmission products. Manufacturing facilities of all divisions are integrated and are in and around Pune. End users include the oil and gas, steel, power, railways and defence sectors.

The company reported 87% jump in net profit to Rs 60.23 crore in Q4 FY24 from Rs 32.24 crore in Q4 FY23. Revenue from operations jumped 36% YoY to Rs 489.96 crore during the quarter.