Vikas Lifecare Submitted Term Sheet To Acquire 100% Stake In Ebix

Vikas Life Care Limited has informed the stock market that the company has sent a plan to its independent director to buy 100% equity in Ebix. Initially, 5% of the purchase amount has to be deposited in cash. If this acquisition is successful, then it can be implemented under Chapter 11 of the Reorganization Plan. Under this plan, negotiations are to be done between Iraya, Ebix and other major shareholders. This acquisition can be done under the guidelines of the US Bankruptcy Code.

Vikas Life Care Limited has informed the stock market that it has participated as a partner in the consortium formed to buy a 100 per cent stake in the American company Ebix Inc. Vikas Life Care Limited has assigned a term seat to the independent directors of Ebix Inc. A group of several companies has decided to buy a 100% stake in Ebix Inc. This consortium led by Iraya Life Space Limited has bid to buy Ebix Inc., which also includes Vikas Life Care Limited.

Amid the weakness in the city market, the shares of Vikas Life Care Limited, which has given multi-bagger returns to investors, were witnessing slight weakness and were trading at the level of Rs 5.02. Vikas Life Care Limited shares have been weak for the last few days, but in the last 1 year, investors have got a return of 75 per cent from the low level of Rs 2.88.

Recently, Vikas Lifecare was induced Rs 85 million to its step-down joint venture i.e. IGL Genesis Technologies Ltd, towards CAPEX for establishing the plant at Noida for manufacturing Smart Gas Meters in India. According to the company, the initiative holds great promise for advancing India's capabilities in smart meter manufacturing and contributing to the country's efforts towards modernising its energy infrastructure. VLL has induced further capital of Rs. 85 million for its step-down joint venture, IGL Genesis Technologies Ltd. (IGTL) a joint venture between the company's subsidiary "Genesis Gas Solutions Pvt. Ltd." (GGSPL) and "Indraprastha Gas Ltd." (IGL), to cover the capital expenditures associated with developing a plant in NOIDA, Uttar Pradesh, that will produce smart gas meters for the Indian market.

Vikas Life Care Limited is a micro-cap company with a market cap of Rs 894 crore, whose shares have given a bumper return of 180 per cent to investors in 52 weeks. The 52-week high of the shares of Vikas Life Care Limited is Rs 7.92 while the 52-week low is Rs 2.83.

Vikas Lifecare is engaged in the manufacturing and trading of polymer and rubber compounds and speciality additives for plastics, synthetic and natural rubber. The company has most recently diversified its business interests beyond raw materials and forayed into the B2C segment.