Ice Make Refrigeration raises Rs 190-Cr; forms JV with Japan’s Galilei
Hyderabad, July 25(TNT): Ice Make Refrigeration Ltd. on Saturday announced a strategic partnership with Japan’s Galilei Holdings Co. Ltd., under which the Tokyo Stock Exchange-listed company will invest ₹180 crore in the Indian refrigeration solutions provider and jointly establish a manufacturing venture.
In a release, the company said Galilei will invest ₹180 crore through a preferential issue of equity shares, while Ice Make will raise an additional ₹10 crore from other investors through a preferential allotment.
The transaction is subject to shareholder approval, in-principle approvals from the stock exchanges and other customary closing conditions.
As part of the partnership, the two companies will form a joint venture in which Galilei will hold a 60 per cent stake and Ice Make the remaining 40 per cent.
The venture will manufacture, market and distribute commercial upright refrigerators, commercial table refrigerators and related refrigeration products, combining Galilei’s technology with Ice Make’s market presence in India.
Ice Make said the proposed fund raise would be utilised for expanding manufacturing capacity, modernising existing operations and scaling integrated refrigeration and cold room solutions to meet growing demand across various industry segments.
The company also plans to explore select inorganic growth opportunities in the refrigeration, cold chain and allied sectors to strengthen its market position and technological capabilities.
Part of the proceeds will be invested in the proposed joint venture with Galilei to accelerate business expansion.
In addition, the funds will support the completion of the company’s new corporate office, Centre of Excellence and a state-of-the-art development and testing laboratory to enhance research, innovation and operational capabilities.
A portion of the capital will also be used to repay or prepay certain borrowings, improving the company’s balance sheet and financial flexibility to support future growth initiatives.
KPMG acted as the exclusive financial advisor, while Cyril Amarchand Mangaldas served as the legal advisor to Ice Make for the transaction.
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