Shriram Pistons & Rings  (SPRL) has entered into a Share Purchase Agreement with existing shareholders of Karna InterTech (Karna) to acquire 100% equity stake in Karna for a consideration of Rs 5 crore.

Karna is a key supplier of gravity die casting moulds to SPRL, which are utilised in the manufacturing of piston castings. SPRL provides the mould design, which is extremely sensitive and confidential. Karna can produce high-precision items to the greatest levels of quality because of its highly skilled workforce.

In light of the above, and to leverage synergies while catering to the future requirements of SPRL's existing plants, the acquisition would be beneficial in the long term growth of the Company.