Modi Rubber has signed an agreement with MAN Diesel & Turbo SE, Germany for sale of its entire stake constituting 20.01% equity share capital, represented by 3201200 equity shares of MAN Diesel & Turbo India, a closely held company for a total sale consideration of Rs 35.99 crore in addition of getting a non compete fee of Rs 4.09 crore. The company has inked the above agreement on April 02, 2012.
The payments are subject to deduction of withholding tax, as applicable. Further, the transaction is subject to fulfillment of conditions contained in the agreement.
Modi Rubber was incorporated on February 27, 1971 at Modinagar. The main object of the company is to manufacture automobile tyres and tubes.