Vector Projects merges with Uniply Industries for Rs 64.12 crore
Vector Projects (I), an end-to-end turnkey interior solutions provider in the residential and commercial spaces, has recently merged with Uniply Industries, a manufacturer of plywood, laminates and related products for a consideration of Rs 64.12 crore.
The first-of-its-kind deal in India made Mumbai-based Vector Projects, a wholly-owned subsidiary of Uniply Industries. This has further expanded the opportunities for both Uniply and Vector Projects by integrating into an end-to-end building solutions as well as creating a single large entity that potentially doubles their business size. As a subsidiary, Vector Projects will continue to be run by its Founder & CEO, Umesh Rao, and is aiming to achieve a revenue of Rs 300 crore this fiscal. Uniply Industries will continue to support Vector Projects’ business growth in providing turnkey interior solutions. The transaction involves a Rs 23.12 crore stock swap with shares of Uniply and a Rs 40.99 crore cash pay-out funded by Uniply’s promoters and other participants through a private placement.
Speaking about the acquisition, Umesh Rao, Founder & CEO, Vector Projects (I) said, “With a successful journey of over 15 years, Vector Projects is ready to enter the second phase of its business. This one-of-its kind acquisition will create a single large entity and boost Vector’s credibility among its customers and in the industry. We look forward to this deal as we will get an opportunity to maintain our independent identity with strong financial backing.”
With branches across India along with 350 architects, engineers and interior designers, Vector is among the few organised players in the turnkey solutions business. In its journey of over 15 years, Vector boasts of full service capabilities ranging from architectural designs to complete interior fit-outs including modular workstations and chairs while clocking a revenue of over Rs 210 crore in 2015-16 financial year. In the near future, Vector projects plans to expand into residential interiors and e-commerce as well.