LT Elevator Limited (BSE: 544518), a provider of elevator solutions and automated parking systems, has announced that its Board of Directors has approved the merger of Ricardo Elevators Private Limited into the Company. A binding term sheet has been executed, and the transaction is subject to customary approvals.
As part of the merger, Ricardo Elevators’ business operations, workforce, and ongoing projects will be integrated into LT Elevator Limited. Neeraj Hemnani, Founder and Chief Executive Officer of Ricardo Elevators, will continue with the combined organization and will lead the Home Elevator Division.
The merger represents a strategic step for LT Elevator as it enters the premium direct-to-consumer home elevator segment. Ricardo Elevators has established a nationwide retail presence and focuses on residential elevator solutions, particularly in the premium housing market. The integration is expected to provide LT Elevator with immediate access to this segment while strengthening its overall product portfolio.
Ricardo Elevators currently reports order inflows of approximately ₹6 crore per month, with delivery timelines ranging from three to six months. These orders are expected to contribute to the combined entity’s revenue in the near term.
LT Elevator plans to progressively integrate Ricardo’s manufacturing requirements, which are presently outsourced, into its own engineering-led manufacturing facilities. This integration is intended to improve cost efficiency, quality consistency, and execution control as volumes increase.
The merger is also expected to enhance LT Elevator’s reach across residential customers by combining its existing institutional and infrastructure-focused capabilities with Ricardo’s consumer-facing sales channels. The company anticipates opportunities for cross-selling and improved customer engagement across residential and mixed-use developments.
Commenting on the development, Yash Gupta, Director, LT Elevator Limited, said that the merger aligns with the company’s long-term growth plans and supports expansion into higher-value residential segments while maintaining a disciplined approach to costs and margins.
LT Elevator stated that it will release a detailed investor presentation outlining the strategic and financial aspects of the transaction. An investor conference call is scheduled for January 19, 2025, and further details will be communicated separately.
