Kilburn Engineering Ltd Diversifies Portfolio Through Acquisition of M.E Energy

Kilburn Engineering Ltd. has finalized its acquisition of M.E Energy Private Limited, a renowned leader in waste heat recovery (WHR) and waste heat reutilization systems. Effective from February 20th, 2024, the acquisition was valued at an aggregate consideration of INR 98,70,00,000/-. This development marks a significant milestone in Kilburn's strategic growth journey.

The acquisition represents a decisive move for Kilburn Engineering Limited to position itself as a comprehensive solution provider in thermal engineering and heat recovery systems. By incorporating M.E Energy's expertise, Kilburn aims to enrich its product portfolio for its existing diverse clientele while gaining access to new industries and customers. This strategic alignment reflects Kilburn's commitment to achieving sustained, profitable growth and reinforcing its capabilities, ultimately delivering an enhanced value proposition for shareholders.

Expressing his enthusiasm about the acquisition, Mr. Amritanshu Khaitan, Director of Kilburn Engineering Limited, emphasized its significance in advancing Kilburn's strategic growth trajectory. He stated, "The integration of M.E Energy's expertise perfectly aligns with our mission to drive innovation and expand our service offerings. We are confident that this collaboration will not only enhance our competitive edge but also deliver sustainable value to our shareholders."

Mr. Ranjit Lala, Managing Director of Kilburn Engineering Limited, echoed this sentiment, highlighting the synergies between the two entities. "This union will augment the organizational prowess, as ME Energy specializes in the production of thermal engineering and heat recovery systems, a perfect complement to Kilburn Engineering's existing drying systems," he said. "This synergy will open doors to expanded sales opportunities by tapping into the existing client bases of both entities."

Mr. K. Vijay Kartha, Managing Director of M.E. Energy, expressed his excitement about the strategic alliance, anticipating substantial synergies in solutions, product offerings, and manufacturing capabilities. "This partnership will propel M.E. Energy into its next phase of growth, benefiting from Kilburn's scale, expertise, and impeccable track record," he stated.

In terms of performance, M.E Energy reported an order backlog of Rs. 50 crores at the beginning of the year and closed the nine months ended December 31st, 2023, with an order backlog of Rs. 119 crores.

EQUITYBULLS