Sirca Paints India signs business transfer agreement with Capital Market News

Sirca Paints India (SPIL) has made a significant move by entering into a business transfer agreement with New Wembley Products LLP through its Authorized Partner Dr. S. Harinderbir Singh Lamba. This agreement involves the acquisition of the business undertaking related to the sale and distribution of products, including technical know-how and all intellectual property rights belonging to New Wembley Products LLP and Dr. S. Harinderbir Singh Lamba.

The agreement includes the transfer of customer and vendor relationships, digital assets, books and records, and identified employees of New Wembley Products LLP. However, it does not include the manufacturing facilities of the company. SPIL will have the exclusive right to use the intellectual property for the sale of products.

This transaction, executed on a ‘slump sale’ basis for an aggregate lump-sum purchase consideration of Rs. 20 crore, marks a strategic move for SPIL to expand its product offerings and market presence. New Wembley Products LLP, known for its thinner, reducer, retarders/paint removers under the trade name ‘Welcome,’ produces a variety of interior finishing products for commercial, residential, and automotive applications.

This development showcases SPIL’s commitment to growth and innovation in the paint industry. With this new agreement, SPIL is poised to strengthen its position in the market and offer a wider range of high-quality products to its customers. This strategic partnership is expected to drive further success and growth for both companies in the future.