Sansera Signs Agreement For Strategic Investment In MMRFIC Technology
Sansera today announced that it has entered into a definitive agreement for a strategic investment in MMRFIC Technology. MMRFIC is a research, design and manufacturing entity, building sub-systems for next generation radars by leveraging machine learning with artificial intelligence and, mm-Wave Sensors with hybrid beam forming capabilities.
Commenting on the Strategic Investment B R Preetham Group CEO, Sansera Engineering said, “I am very pleased to inform you that we have signed a definitive agreement for a strategic investment in MMRFIC Technology (MMRFIC). Diversification and collaborations have been an integral part of our journey since the very beginning. This transaction provides an opportunity to reinforce this strategy by increasing the pie of our non-ICE offerings. Further, it is a testimony of our commitment towards our emerging Aersopace and Defence business. With MMRFIC’s niche technology, we will create a product portfolio for AatmaNirbhar Bharat. MMRFIC’s team of experts and years of R&D experience in the Radars space sets it apart and made a compelling investment case for us. This transaction will help us take a leap in futuristic technologies.”
“Over the years, Sansera has successfully demonstrated very strong technological competences and an outstanding ability to serve large customers with excellence. The strategic investment in MMRFIC will help Sansera enter into high technology space and have access to a strong R&D and engineering team which can address our priority market segments viz., Defence and Aerospace. It also has the potential in the Telecom (5G) and the Automotive (autonomous driving – subsystems) technologies in future. Sansera’s market positioning will help MMRFIC to be a significant player in its sectors. MMRFIC’s day-to-day business and operations will continue to be managed by its existing management team, which has successfully led the company to this stage,” he added.
Commenting on the transaction Saravana G, Founder, CEO & CTO MMRFIC Technology said, “We are very excited to join hands with Sansera Engineering through this transaction. This alliance is expected to provide significant future growth and value creation opportunities to MMRFIC by supporting our global competitive positioning and increasing our scale, and addressable market. We look forward to working alongside the Sansera team to continue driving innovation and creating value.”
As per the terms of the agreement, Sansera would make an investment Rs 200 million in MMRFIC via 1,49,250 CCPS of Rs 100 each with a premium of Rs 1240 per CCPS; and 17 Equity Shares of Rs 1 each with a premium of Rs 599 per share. The equity percentage will be determined on conversion of CCPS based on FY24 EBITDA. Based on projected FY24 EBITDA this investment would result in a approx. 21 per cent stake in MMRFIC. Sansera has a right to invest further and increase its stake up to 51 per cent at a predefined valuation formula.
