Auto component maker Subros Thursday said it has inked a pact with Zamil Air Conditioners India to acquire latter's certain assets linked to production of home air conditioning (AC) systems.
The company, which for the past few years has been trying to gain foothold in the home air conditioning segment, has inked a memorandum of understanding (MoU) with Zamil Air Conditioners India Pvt Ltd, Subros said in a regulatory filing.
The decision is in line with the company's long-term plan and strategic intent to expand business in home air conditioning domain, it said.
The company is further in the process to enter into definitive agreements in this regard, it added.
"Through this initiative, Subros will create a capacity of 5 lakh units per year and also expand its supply of home air conditioning units...," Subros said.
The transaction is expected to be completed in April 2019, it added.
On the BSE, shares of Subros closed at Rs 261 apiece, up 4.4 per cent.
(This story has not been edited by Business Standard staff and is auto-generated from a syndicated feed.)