TTK Prestige Ltd enters into agreement with GramyaHaat

TTK Prestige Ltd has entered into a binding agreement with GramyaHaat Rural Tech Pvt Ltd (GramyaHaat) in which the company will be subscribing to Compulsorily Convertible Debentures which, as and when the conversion takes place, is likely to result in equity of more than 5% in GramyaHaat.

GramyaHaat is a start-up company for exploring Rural market through physical stores as well as through village level entrepreneurs.

TTK Prestige will not have controlling stake in GramyaHaat. The total commitment is of the order of Rs. 15 Crores of compulsorily convertible debentures of which Initial investment will be of the order of Rs. 5 Crores. This is not a related party transaction.

This is a distribution space relevant to the business of TTK Prestige Limited engaged in the business of Kitchen & Home Appliances.

GramyaHaat is a distribution company and would like to focus on underdeveloped markets. Target products include mobile phones, kitchen appliances and utensils, cycles, fan, tube lights, white goods, etc. Distribution strategy is through a) physical stores and b) village level entrepreneurs.

This investment will enable TTK Prestige Limited to access rural markets directly in specific geographies.

Source : Equity Bulls

Keywords

TTKPrestige Investment GramyaHaatRuralTech CCDs