Kilburn Engineering makes a power move with strategic factory purchase in Thane

Kilburn Engineering Limited, a forefront provider of industrial solutions, has officially announced the acquisition of a significant factory unit situated in the Additional Ambernath Industrial Area, Ambernath (East), Thane, Maharashtra. Signed on July 12, 2024, the binding term sheet with M/s. Shree Satyanarayan Industrial Suppliers Private Limited encompasses crucial assets including plant, machinery, an office building, work area/shed, amenities, and various equipments. The total consideration for this acquisition is capped at Rs. 22 crores, contingent upon successful due diligence and requisite adjustments.

This acquisition is a pivotal step in Kilburn’s strategic expansion, aimed at bolstering its manufacturing capabilities and operational efficiencies. The proximity of the new unit to Kilburn’s existing facilities is anticipated to bring synergistic benefits, optimizing production processes and enhancing the company’s overall manufacturing footprint.

Ranjit Lala, Managing Director of Kilburn, commented on the acquisition, “This strategic acquisition aligns perfectly with Kilburn’s vision of strengthening our manufacturing footprint. It not only enhances our capacity but also positions us favorably to meet growing market demands swiftly and efficiently.”

Amritanshu Khaitan, Director of Kilburn, highlighted the strategic implications of this acquisition: “Acquiring this factory unit underscores our commitment to operational excellence and growth. The investment will have a very quick payback of 12-18 months and will facilitate the execution of our strong enquiry pipeline of orders. It enables us to integrate new capabilities effectively, driving sustained value creation for our stakeholders.”

Kilburn projects an additional revenue of approximately Rs. 100 crores post-acquisition, illustrating the financial prudence and strategic foresight behind the move. This acquisition not only reinforces Kilburn’s stature as a dynamic player in the industrial solutions sector but also underscores its commitment to enhancing shareholder value through strategic investments.