Amber Enterprises India Limited has announced a strategic investment of ₹500.00 crores to expand its state-of-the-art Research & Development Centre dedicated to HVAC products in Punjab. The company disclosed this expansion plan under Regulation 30 of SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, highlighting its commitment to technological advancement in the consumer durables sector.

Investment Details and Strategic Focus

The company plans to capitalize on the conducive policies and incentives offered by the state of Punjab to promote technology development. This initiative will reaffirm the company's commitment to meeting evolving product requirements, advancing energy-efficient technologies, and strengthening its product pipeline, including Commercial AC solutions and VRV systems.

Technology and Innovation Objectives

The expanded R&D facility will enable accelerated innovation, improved design capabilities, and the development of sustainable energy-efficient solutions for both domestic and global markets. The investment focuses specifically on Heating, Ventilation, and Air Conditioning (HVAC) products, positioning the company to meet the growing demand for advanced climate control solutions.

Regulatory Compliance

The announcement was made pursuant to Regulation 30(2) of the SEBI (LODR) Regulations. The disclosure emphasizes the company's commitment to transparency and regulatory compliance while pursuing strategic growth initiatives in the consumer durables sector.

This expansion represents a significant step in Amber Enterprises' growth strategy, leveraging state government incentives to enhance its technological capabilities and strengthen its position in the HVAC segment of the consumer durables industry.

Amber Enterprises , through its material subsidiary Il Jin Electronics, has completed the acquisition of an 80% stake in Pune-based Shogini Technoarts Private Limited. The deal, valued at approximately Rs 5.06 billion, marks a significant step in strengthening Il Jin's position in the printed circuit board (PCB) manufacturing sector.

Acquisition Details

The acquisition, which was previously announced through a Share Purchase Agreement (SPA) and a Shareholders' Agreement (SHA), has now been finalized. Il Jin Electronics has successfully acquired a majority stake in Shogini's equity share capital, expanding Amber Enterprises' portfolio through this strategic investment.

About Shogini Technoarts

Established in 1982, Shogini Technoarts is a prominent manufacturer of various types of PCBs, including single-sided, double-sided, multi-layered, metal clad, and flexible PCBs. The company caters to a wide range of applications across industries such as automotive, defense, medical electronics, industrial electronics, power electronics, process control, telecommunication, computer peripherals, and LED lighting.

Financial Highlights

Shogini Technoarts has demonstrated consistent growth over the past three years:

Strategic Rationale

The acquisition is expected to yield several benefits for Il Jin Electronics:

1. Strengthening in-house PCB production expertise
2. Reducing reliance on external suppliers
3. Broadening product offerings with advanced PCB types
4. Advancing manufacturing, innovation, and design capabilities
5. Tapping into new customer segments and markets

Management Commentary

Mr. Jasbir Singh, Executive Chairman and CEO of Amber Group, had previously stated, "Shogini further strengthens the bare PCB vertical and Amber Group's progression into a leading full-stack, backward-integrated EMS company. Together with Ascent Circuits' existing facility, the upcoming new facility, and our strategic JV with Korea Circuit, we are laying a strong foundation to emerge as a leading PCB manufacturer in the country."

Mr. Abhijit Tamhankar, Chairman & Managing Director of Shogini, had added, "This strategic partnership with Amber Group marks a pivotal moment in our journey, driven by a shared vision to harness synergies and scale the business. Together, we aim to accelerate growth, empower teams, and enhance value to our customers across diverse sectors."

Transaction Outcome

With the completion of this acquisition, Shogini Technoarts has become a subsidiary of Il Jin Electronics and a step-down subsidiary of Amber Enterprises India Limited. The final cost of the acquisition, approximately Rs 5.06 billion, has now been disclosed.

This strategic move is expected to contribute significantly to Il Jin Electronics' growth in the PCB manufacturing sector and support the vision of 'Aatmanirbhar Bharat' by advancing local manufacturing capabilities in the electronics industry.