Foseco India Set to Acquire Majority Stake in Morganite Crucible

Foseco India Limited (FIL), a member of the Vesuvius Group, has entered into a definitive agreement to acquire a 75% equity ownership in Morganite Crucible (India) Limited (MCIL) by purchasing shares from existing promoters Morganite Crucible Limited and Morgan Terrassen BV, both part of the Morgan Group.

This move provides visibility for FIL to expand its presence in the Indian Foundry market, specifically in the fast-emerging non-ferrous sector. The Molten Metal Systems (MMS) company in India, which focuses on cutting-edge crucible technology for non-ferrous metal applications, is owned by MCIL. By combining MMS's experience with Foseco's current product lines, the acquisition enhances FIL's portfolio.

In accordance with the agreement, FIL will exchange the 75% ownership for 1,150,800 new equity shares, with a share swap ratio of 274 FIL shares for every 1,000 MCIL shares. In accordance with SEBI's takeover rules, FIL will conduct an obligatory open offer to purchase up to 25% of MCIL's shares from public shareholders after this acquisition. The transaction's completion is contingent to shareholder approval, regulatory clearance, and other previously agreed terms.

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It is anticipated that the acquisition would close in early October 2025. This move is a component of the Vesuvius Group's larger acquisition of the global MMS business from the Morgan Group. Vesuvius hopes to fortify its position in India, one of the world's most vibrant foundry markets, and quicken its expansion in non-ferrous markets by incorporating the MMS product range.