Wipro Ltd on Thursday said its wholly-owned subsidiary Wipro Infrastructure Engineering will acquire Sweden-based Hydrauto Group AB for over Rs 142 crore (31 million dollars).
In a communique on the National Stock Exchange, Wipro said that an agreement had been signed for the buyout which was expected to be completed by Q3 of FY 2006-07.
Wipro Infrastructure Engineering (WIN) is engaged in the business of precision engineered hydraulic components and solutions while Hydrauto is a leading provider of hydraulic components and solutions in Europe.
It manufactures hydraulic cylinders for material handling, forestry and construction equipment.
"This acquisition gives WIN a unique Asia-Europe footprint, a customer base built over the past few decades and deep complementary engineering skills," WIN Managing Director Anurag Behar said.
Wipro added that globally hydraulic components were a 17 billion dollar industry catering to the construction equipment, material handling, farm and industrial segments.
"We think that Wipro is a perfect fit, being leaders in Asia and having an established presence in the Asia-Pacific region," CEO of Hydrauto Olov Larsson said.