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Jupiter Wagons Shares Slump 2% as Board Approves Acquisition of Bonatrans India

This strategic move is a significant milestone for Jupiter Wagons.

Shares of Jupiter Wagons were trading 2% lower on 20 March after the Board of Directors of the company approved the acquisition of a 94.25% stake in Bonatrans India for a total cash consideration of Rs 271 crore.

In its regulatory filing, the company said, “We wish to inform that the Board of Directors of the company, at its meeting held today i.e. 20 March, 2024 has considered and approved the acquisition of Bonatrans India Private Limited, which shall eventually become the subsidiary company upon completion of acquisition.”

The acquisition will be completed in 30 days and will help meet the captive requirement of the company and cater evolving demand in the domestic and export market.

The filing added, “The Board of Directors has approved the above acquisition, subject to the necessary approvals including the approval from the other regulatory authorities if any and Board of Directors of Bonatrans India Private Limited.”

Earlier on 6 March, the company received an order to manufacture and supply 2.237 units of BOSM Wagons for a total consideration of Rs 956.87 crore.

On 19 February, the company announced an interim dividend of Rs 0.30 per equity share for the current fiscal year.

The company is in the business of manufacturing all types of railway wagons and accessories, and also manufactures commercial vehicle load bodies, containers, and commercial electric vehicles.

At 3:30 pm, the shares of Jupiter Wagons closed 1.56% lower at Rs 333.70 on NSE.

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