TIL Limited has decided to increase the authorised share capital of the company and infuse funds by bringing in a strategic investor — Indocrest Defence Solutions. Indocrest is part of the Gainwell group headed by Sunil Kumar Chaturvedi.
In 2016, the company had hived off a key part of its business in the form of Caterpillar dealership to Gainwell (erstwhile TIPL).
“This decision mainly comes from the fact that there is no successor to continue the business operations after me. After facing challenging times in the last couple of years, bringing in a strategic investor became imperative in order to continue the business operations,” said TIL chairman and managing director Sumit Mazumder, in a statement on Saturday.
“We are happy to transfer, subject to requisite approvals, the full management control of TIL to Indocrest Defence Solutions Pvt Ltd and the Gainwell group,” said Mazumder.
TIL currently operates two plants in Bengal at Kamarhatty and Changual.
The company has global alliances with Grove Worldwide and Manitowoc Crane Group of USA and Hyster. Its order book as of March 31 was Rs 332.5 crore. Around 65 per cent of the orders pertains to the defence sector.
The company convened an extraordinary general meeting on December 23 to seek shareholder approval, according to a stock exchange disclosure.