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Deal Alert: Multiples invests in drilling equipment firm Sara Sae

Edited excerpts from the Press Release

Multiples Private Equity has made an investment in Sara Sae Pvt. Ltd. (earlier know as NOV Sara), a Dehradun-based manufacturer of drilling equipment. The financing will be used for the buyout of the 76% held in the company by National Oilwell Varco (NOV) in the company and to fund its growth plans. Sara Sae will enter the oil field equipment services business and also expand into other high potential product lines. Avendus Capital was the financial advisor to Sara Sae and its promoters.

Founded by its Chairman V.K.Dhawan in 1980, Sara Sae manufactures hi-tech drilling equipment and jack-up rigs like BPO Acculators, hydraulic tongs, hammer unions and swivel joints. The company has manufacturing facilities at Dehradun and Faridabad and a sales cum warehouse setup in Houston, USA. Exports account for more than 85% of the turnover of the company. In August 2007, National Oilwell Varco, which is a global drilling equipment company, acquired a 76% stake in the company, post which it was renamed as NOV Sara.

his is the first investment for Multiples Private Equity Fund, which has recently raised its maiden fund from reputed international and local investors. Renuka Ramnath, CEO of Multiples said “Sara fits in completely with Multiples investment philosophy of backing proven entrepreneurs with products and services which can match the best global standards.” Preet Mohan Singh, Executive Director at Avendus said, “On the back of its technical prowess, Sara enjoys a very unique position in the global oil field equipment market which is dominated by large players. This investment will help them further strengthen their position and implement their growth plans”.

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