Electronics co Syrma to merge with SGS Tekniks to create Rs 1,200-cr entity

Electronics design firms Syrma Technology and SGS Tekniks on Tuesday announced a cash and stock merger to create a new entity, which will have a revenue of Rs 1,200 crore. Over 80 per cent of the merger to form the new company Syrma SGS is through the stock and the rest is through an undisclosed amount of cash payout to the promoters of SGS Tekniks by Syrma, Sandeep Tandon, managing director of Syrma, told PTI.

Syrma has also received an investment from GEF with the intent of being a shareholder in the merged entity, he said without disclosing the financial details. Promoters of the 2005-incorporated Syrma will be holding 57 per cent in the merged entity, those who founded SGS 30 years ago will have 35 per cent, while the rest will be with the PE fund, he said.