Upper Circuit: This stock hit upper circuit after news of acquisition of French company Baylink Solutions:

News Topical, Digital Desk : Upper Circuit: Shares of Hind Rectifiers Limited hit upper circuit after rising 5% on the last day of the week, Friday, September 19. This surge in shares came after the company announced its proposed acquisition of the business and operational assets of its subsidiary, France-based Baylink Solutions.

According to the filing, the company completed the acquisition for €1 million. This payment was made entirely in cash and financed through internal collections.

The company stated that a total investment of €2 million will be made in the proposed subsidiary. Of this, Hind Rectifiers will subscribe for €1 million worth of preference shares. The remaining €1 million worth of preference shares will be issued as equity shares, with Hind Rectifiers holding a 66% stake and the remaining 34% held by promoter group companies. This acquisition strengthens the company's position in the robotics and electronics manufacturing services (EMS) market. It also provides Hind Rectifiers with a strategic manufacturing hub in Europe, strengthening its global presence.

What is the French company doing? Baylink Solutions is a reputable French company with 38 years of experience in robotics, EMS, and electronics research and development. The company boasts six fully automated production lines and advanced testing tools, enabling Hind Rectifiers to meet the changing demands of its customers.

What will be the benefits? The acquisition will bring Hind Rectifiers' entire production and testing system under its ownership, including plant and machinery, intellectual property, technology, customer contracts, and purchase orders. The company estimates that Belinck Solutions will generate revenues of €13 million in 2025, with outstanding orders of €10 million for 2026. Surmya Nevatia, Chairman, Managing Director, and CEO of Hind Rectifiers, said, "With Belinck's advanced infrastructure and Hind Rectifiers' expertise in power electronics, we will be able to produce at a high volume and drive future technological innovation. This combination will be a key driver of our growth in the global market." The company's shares had previously fallen 15% last month, but have been performing positively over the past six months, rising 78.4%. On Friday, the company's stock closed at ₹1,725 per share. This acquisition is considered a significant step towards global expansion for Hind Rectifiers.