India, Mumbai: Mumbai-headquartered CG Power and Industrial Solutions, power and distribution transformer manufacturer and part of Avantha Group, is selling its US business to a Brazilian company WEG at an enterprise value of $37 million.
CG, formerly known as Crompton Greaves (CG), has accepted a binding offer of WEG, a manufacturer of energy equipment and electric components, to acquire its US-based step-down subsidiary CG Power USA, which is primarily a transformer manufacturer.
A stock purchase agreement for sale of its 100 % stake in the US company was executed on June 20 by CG Power Systems Belgium, another overseas subsidiary of CG, reports The Hindu Business Line.
The deal is expected to be closed by July 31.
Source: The Hindu Business Line