New Delhi: Graphite India Ltd., the largest Indian maker of graphite electrodes used to melt scrap iron and steel, bought a 16% stake in US-based General Graphene Corporation for ₹ 132 crores, ($18.6 million) in an all-cash deal, the company said in a stock exchange announcement.
The investment will be made in multiple phases over two to three years, through Graphite India’s wholly owned subsidiary in the Netherlands, Graphite International BV. Lodha Capital Markets was the banker to the deal.
“Graphite India’s investment in General Graphene is in line with its longstanding strategy of focusing on high end technologies. This initiative is expected to deliver meaningful growth in the long term. Graphene, with its unique properties of being the strongest, thinnest and lightest material known, is likely to open up new opportunities in high tech applications further driving efficiency and optimising costs", said KK Bangur, chairman of Graphite India.
General Graphene, based in Knoxville, Tennessee, has developed a proprietary technology which would allow them to produce large area, low cost graphene sheets in industrial volumes for commercial applications. Its applications include monitoring glucose, haemoglobin and cholesterol levels using bio-electric sensory devices, in which graphene offers high electrical conductivity, thinness and strength. It also has uses in touchscreens, energy storage and aeronautical equipment as an ultra-filtration mechanism in water filtration systems.