DEE Development Engineers Invests $2.4 Million in Thai Subsidiary for Expansion.

DEE Development Engineers Limited has announced a $2.4 million investment in its wholly owned subsidiary, DEE Piping Systems (Thailand) Co. Ltd., to support debt repayment and strengthen its financial position.

The investment will be executed through the acquisition of 16,161,616 equity shares, representing a 24.51% stake in the Thai unit’s existing paid-up equity share capital. Following this transaction, DEE Development Engineers will continue to hold 100% ownership, with a total stake of 82,092,974 equity shares of THB 5 each.

Founded in October 2014, DEE Piping Systems (Thailand) specializes in fabricating pipe spools and components for industrial piping systems. Despite achieving a turnover of ₹8,239.01 lakh ($9.5 million) in FY 2023-24, the subsidiary reported a net loss of ₹433.48 lakh, with a negative net worth of ₹1,181.04 lakh as of March 31, 2024.

However, the company has demonstrated steady revenue growth, with turnover rising from ₹4,098.39 lakh in 2021-22 to ₹6,410.78 lakh in 2022-23 before reaching its current levels. The latest capital infusion is expected to help stabilize its financial health and support future growth.

HBL