Ice Make Refrigeration Lands Major Funding from Galilei, Initiates Strategic Joint Venture

Ice Make Refrigeration Lands Major Funding from Galilei, Initiates Strategic Joint Venture​

Ice Make Refrigeration Limited has signed several definitive agreements that mark a significant step in its long-term strategic growth vision, including substantial funding through an equity subscription and the establishment of a major joint venture with Galilei Holdings Co. Ltd.

The company announced a comprehensive agreement for capital infusion involving Galilee, a Japan based company listed on the Tokyo Stock Exchange. Under this arrangement, Galilei will subscribe to equity shares in Ice Make for an aggregate amount of approximately INR 1,800 million through a preferential issue. Additionally, Ice Make plans to raise INR 100 million from other investors through another preferential issue of equity shares.

In parallel, Ice Make has entered into a joint venture agreement with Galilei Holdings Co. Ltd. This new entity will be established in partnership, with Galilei holding a 60% shareholding and Ice Make holding the remaining 40%. The scope of the joint venture is extensive, encompassing the manufacturing, assembling, distributing, marketing, selling, or supplying of commercial upright type refrigerators and commercial table type refrigerators. Furthermore, the joint venture will cover any derivative, successor, modification, upgrade, or enhancement of these products that is developed or commercially exploited by the company during the term of the agreement.

The proceeds from this transaction are earmarked for multiple strategic initiatives across the organization. The funds will be utilized towards capacity expansion and the modernization of existing operations, focusing on scaling integrated solutions within the refrigeration and cold room value chain to meet growing industry demand.

In addition to addressing immediate operational needs, Ice Make is committed to future growth strategies. The company will evaluate inorganic growth opportunities, including potential acquisitions within the refrigeration, cold chain, and allied ecosystems to strengthen its market presence and expand technological capabilities. A portion of the raised funds is also designated for the repayment or prepayment of existing borrowings, which aims to improve the balance sheet and financial flexibility.

The capital infusion will also support critical infrastructure development, helping to complete Ice Make's new corporate office, Centre of Excellence, and a state-of-the-art development and testing laboratory, reinforcing the company’s commitment to innovation and operational excellence.

For this major transaction, KPMG served as the exclusive financial advisor, and Cyril Amarchand Mangaldas acted as the legal advisor to Ice Make Refrigeration Limited. The completion of these transactions is subject to customary closing conditions and shareholder approval.

ICEMAKE Stock Price Movement​

Shares of Ice Make Refrigeration Limited are edging higher to ₹864.05 as of 1:09 PM, gaining 1.18% in live trading. The stock sees 36,481 shares traded during the current session.