Amara Raja Batteries has terminated shareholders agreement between Galla Family and Johnson Controls (JC) and consequent termination of other agreements entered by the Company with JC.

In November 2018 Johnson Controls International PLC had announced its intention to sell its Power Solution business. Consequently, JC and the Galla Family had reached an agreement by which Galla Family would acquire 2% equity shares of the Company from JC and terminate the shareholders agreement with effect from April 01, 2019.

Consequent to the termination of the shareholders agreement, the other agreements also stand terminated with effect from April 01, 2019.

Referring to the impact of termination of agreements, the Company said it had an ongoing Technical Assistance agreement entered in the year 1997 and has fully absorbed all critical technologies over the years. Today the company manufactures a wide range of batteries utilising most advanced product and process technologies to serve the customer requirements across various application segments. Subsequent to signing Power Frame Technology license agreement in September 2018 the Company has received complete technology know-how and have taken all measures for implementing this technology for manufacturing batteries using advanced stamped grid plate making process.

Further, JC will continue to provide technology assistance to ARBL For an additional period as mutually agreed. As such there is no impact on the Company's operation on account of termination of the agreements. As a progressive organisation the Company would continue to invest into new technologies and nurture partnerships, the company said.

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