“In consideration of the said relinquishment and transfer of joint Control and Management Rights of SLL by Outgoing Promoters in favour of the company, the company will pay an aggregate control premium of Rs 14.80 crore, plus GST as applicable, to the Outgoing Promoters, subject to the terms and conditions of the said CTA,” it said.
Besides, the company will also subscribe share worth Rs 45 crore from the promoters.
It has also entered into a share subscription agreement for buying 45 lakh equity shares of SLL at a price of Rs 10 apiece.
“Further, SLL has now become a subsidiary of the Company,” it said.
The board of the company, which granted approval of the deal in its meeting held on Friday has also decided to commence an evaluation of a potential merger of SLL into Bajaj Electricals.
Starlite Lighting Ltd (SLL) was a joint venture, engaged in the business of manufacturing different consumer electrical products, including lighting products like compact fluorescent lamps (CFLs) and light-emitting diode (LED) and consumer electrical appliances.
SLL registered a turnover of Rs 172.90 crore in FY 2019-20.
In 2007, Bajaj Electricals had entered into JV.