- Fairfax India (FIH.U) has announced up to a US$66 million investment in Maxop Engineering
- Maxop provides precision aluminum die casting and machining solutions for the automotive and industrial sectors
- The investment will grant Fairfax a 67 per cent equity interest in the company
- Fairfax India is an investment holding company focused on equity securities and debt instruments in India
- Fairfax India (FIH.U) is down by 1.95 per cent and is currently trading at US$13.56 per share
Fairfax India (FIH.U) has announced up to a US$66 million investment in Maxop Engineering.
Maxop provides precision aluminum die casting and machining solutions for the automotive and industrial sectors with customers in India, Asia, North America and Europe. The company is based in New Delhi and operates with four plants in Manesar, Haryana and two plants in Jaipur, Rajasthan.
The investment, which will occur over two transactions, will grant Fairfax a 67 per cent equity interest in the company.
The initial US$30 million transaction is expected to close in Q4 2021, while the second US$36 million transaction is expected to close in the second half of 2022.
Prem Watsa, Chairman of Fairfax India, stated,
“We are very impressed with Maxop’s growth under the exceptional leadership of its Managing Director, Shailesh Arora. Shailesh has built a strong organization catering to a wide array of customers around the world. We intend to provide Shailesh with the resources necessary to expand the business and build Maxop to be a world-class leader in the precision engineered components manufacturing industry. We look forward to a long-term partnership with Shailesh.”
Shailesh Arora, Managing Director of Maxop, added,
“We are excited to partner with Fairfax India to accelerate our next phase of growth and continue to create value for our customers, employees and other stakeholders. I am truly humbled by the faith Prem and Fairfax India are entrusting in me as their partner and the Managing Director of Maxop. We will benefit significantly from Fairfax India’s long-term vision to create a world-class precision engineered components manufacturing company in India.”
Fairfax India is an investment holding company focused on equity securities and debt instruments in India.
Fairfax India (FIH.U) is down by 1.95 per cent and is currently trading at US$13.56 per share as of 9:51 am ET.
