The acquisition comes as part of KPTL’s vision to expand its presence in Nordic countries and Europe.

Mumbai-based power transmission & infrastructure EPC company, Kalpataru Power Transmission Ltd. has recently inked a deal to acquire 85% equity stake in Swedish powers solutions & systems firm Linjemontage i Grastorp AB, for a value of $24 million (Rs 165 crore) to expand into the European market.

According to Moneycontrol, the company claims that the acquisition has been carried out to capture local market opportunity as well as to help expand its presence in Nordic countries. It said that the strategic acquisition will help it offer access to technology and EPC capability to take on turnkey projects in Nordic regions and Europe.

Sources cite that Kalpataru Power, with this acquisition, intends to immediately service Norway and Sweden, and later expand to Denmark, Finland and Western Europe. Moreover, it plans to finance the deal through internal accruals while its current promoters and management will continue to run the company.

Commenting on the move, Sanjay Dalmia, Executive Director, Kalpataru Power, said that the company has been active in other overseas markets, however, lacks presence in Europe due to unmet qualification.

He said that the acquisition will effectively offer KPTL with the required qualification to participate in projects in Sweden and other Scandinavian countries were the company will leverage on its capability and further improve on their margin by supplying its products from India. Dalmia further added that the firm will continue to explore new markets and acquisition opportunities.

For the record, Kalpataru Power, which is primarily into constructing power T&D (transmission & distribution) infrastructure, operates in India, Africa, the Middle East, and some other countries worldwide. The company has an order book worth approximately Rs14,167 crore as on December-end, anticipates that the Swedish acquisition will give its orders an added boost.