Winding Wires and Strips Manufacturer Completes 100 Per Cent Acquisition of Vimlesh Industries Pvt Ltd
The stock gave multibagger returns of over 100 per cent from its 52-week low of Rs 66.25 per share.
Divine Power Energy Limited (DPEL), a prominent insulated wire and strip manufacturer, has finalized its acquisition of Vimlesh Industries Private Limited (VIPL). This move, following DPEL's successful NSE Emerge listing in July 2024, sees VIPL becoming a wholly-owned subsidiary after a share purchase agreement initially valued at Rs 70 crore in November 2024. The completion of this transaction, finalized on April 02, 2025, significantly strengthens DPEL's market position and aligns with its strategic growth objectives.
The acquisition allows DPEL to integrate VIPL's established capabilities, resources, and expertise, aiming to enhance operational efficiencies and broaden its market reach. VIPL, founded in 1986 and known for serving the transformer industry with paper-insulated aluminium and copper wires and strips, brings a large customer base and a strong reputation for quality and delivery. This integration is expected to create substantial value for DPEL's stakeholders and drive significant growth for the company.
Sagar Bhagwan Bhutada, co-founder of Impel Ventures, served as the exclusive advisor for this transaction. The Rs 70 crore consideration has been transferred, and the 100 per cent share transfer of Vimlesh Industries Private Limited is now complete. VIPL will continue to operate with its established standards of quality and commitment, contributing to DPEL's overall expansion and market leadership.
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Divine Power Energy Limited, established in 2001, specializes in the production of essential electrical conductors, including bare and winding wires and strips made from both copper and aluminium. Their revenue stream is primarily driven by winding strips and wires of copper, which constitute 41.5 per cent and 19 per cent of their sales, respectively, followed by aluminium winding strips at 12.5 per cent. The manufacturing process involves annealing and insulating these wires and strips, applying various covering materials such as paper, cotton, and fiberglass, to meet the diverse needs of the electrical industry.
The company has a market cap of over Rs 300 crore. The stock gave multibagger returns of over 100 per cent from its 52-week low of Rs 66.25 per share.
Disclaimer: The article is for informational purposes only and not investment advice.