Vedanta Ltd, under the leadership of mining magnate Anil Agarwal, has taken a significant stride towards technological diversification with the complete acquisition of Japanese glass substrate manufacturer AvanStrate Inc. The mining conglomerate announced the acquisition of an additional 46.57% stake in AvanStrate, elevating its total holding to an impressive 98.2%.
The transaction, subject to regulatory approvals, is poised to be finalized by the first quarter of the current financial year, further solidifying Vedanta’s position in the global technology landscape.
In a statement to the Bombay Stock Exchange (BSE), Vedanta revealed, “The board of directors of Vedanta Limited on Friday… have approved the acquisition of additional stake of 46.57% in AvanStrate Inc (ASI) (an indirect subsidiary of the Company with 51.63% holding) from HOYA Corporation, Japan through Cairn India Holdings Ltd (CIHL), a wholly-owned subsidiary of the company.”
Vedanta had initially acquired a controlling stake in AvanStrate in 2017 for USD 158 million, marking its entry into the high-growth electronic devices manufacturing sector.
This strategic move aligns seamlessly with Vedanta’s vision of transitioning towards technology-driven industries and diversifying into hi-tech manufacturing. Leveraging AvanStrate’s expertise in glass substrates, Vedanta aims to bolster its capabilities to cater to the burgeoning demand for electronic devices in India and across the globe.
AvanStrate Inc, headquartered in Tokyo, Japan, is renowned for its cutting-edge glass substrates utilized in the production of a wide array of electronic devices, including televisions, laptops, smartphones, tablets, wearables, and other electronic displays. With production facilities strategically located in Taiwan and Korea, AvanStrate has established itself as a leader in the global electronics manufacturing ecosystem.
Commenting on the acquisition, Vedanta emphasized its commitment to capitalizing on AvanStrate’s technological prowess to fuel growth in India’s hi-tech electronics manufacturing sector. By integrating AvanStrate’s capabilities with its own resources, Vedanta seeks to play a pivotal role in supporting India’s journey towards becoming a manufacturing hub for electronic devices.
As Vedanta charts its course towards technological innovation and global expansion, the acquisition of AvanStrate marks a significant milestone in its journey towards driving sustainable growth and delivering value to stakeholders in the ever-evolving digital landscape.
