InvestorQ : How is the 3 to 4 years prospects of Vimta lab? It acquired Emtac, an electrical/ electronic equipment testing company, which is totally different from it's present expertise area of chemical and food testing. Should I continue my investment in it?
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How is the 3 to 4 years prospects of Vimta lab? It acquired Emtac, an electrical/ electronic equipment testing company, which is totally different from it's present expertise area of chemical and food testing. Should I continue my investment in it?

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NISHA Nayak answered.
2 years ago
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On November 09, the Board of Directors of Vimta Labs in its Meeting, decided to acquire 100% equity shares of M/s Emtac Laboratories Private Limited and to make it a wholly owned subsidiary of the company. Emtac is also based out of Hyderabad just like Vimta Labs. The disclosure for the proposed acquisition was made under Part A of schedule III of the Securities and Exchange Board of India (Listing Obligations and Disclosure Requirements) Regulations, 2015.

EMTAC is short for electrical/electronic, mechanical, thermal assessments and certifications. It was established to develop as a premier laboratory and certification body in the fields of physical security products, electrical, electronic and mechanical. Establishment started with physical securities products testing laboratory at IDA, Nacharam, Hyderabad in 2015. Laboratory has a covered space of 6228 sq ft. Further Electrical and Electronic testing laboratory was established in Hyderabad on a short-term lease, as additional laboratory space (7122 sq ft.) for electrical and electronic testing was further made available by the lessor at IDA.

For Vimta Labs, this acquisition is a logical forward integration and should add value to the original company, which is a pharmaceutical company, which should be positive for the stock as a whole.

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