Jupiter Wagons Ltd (JWL) on Tuesday said it has been selected as the successful resolution applicant of Stone India Limited which used to supply engineering products to Indian Railways. City-based Stone India, however, is now delisted from trading. Lenders filed for insolvency under the Corporate Insolvency Resolution Process after the city-based company failed to repay its dues.
JWL has an expansive product portfolio and is the one-stop mobility solutions provider, company officials said.
Stone India will strengthen JWL’s offerings for railways, including brake systems and other engineering products.
“Stone India is a strong and strategic fit for Jupiter Wagons and the combination of the two companies will bring significant value. The acquisition will result in the enhancement of the overall portfolio strength.
“It will allow us to accelerate our development plans and enable us to excel in the offerings of the Indian railways,” JWL managing director Vivek Lohia said, without divulging the resolution value.
A committee of creditors of Stone India was formed by lenders including Indian Overseas Bank, State Bank of India and ICICI Bank. The total claim submitted and admitted was Rs 51.9 crore. The company has not been operational since 2017 and has no employees.
Lohia has said they will take over the company without any liability.
JWL is also a Kolkata-based engineering company with interests in wagons. The company recently completed the reverse merger with CEBBCO (Commercial Engineers & Body Builders Company Ltd), through the acquisition and got listed on the stock exchanges.
It also entered the electric mobility market with the launch of Jupiter Electric Mobility focusing on commercial EV vehicles.
