Accel to buy Transmatic Systems

THIRUVANANTHAPURAM: Chennai-based Accel Ltd is close to acquiring crisis-stricken Kerala-based electronics firm Transmatic Systems Ltd. Accel will buy out 19 percent stake of the founder promoters and has offered Rs four per share for buying 20 percent of the shares from other shareholders.

Accel Ltd MD NR Panicker and his team are in Thiruvananthapuram to close the deal.

Established in 1986, Transmatic had earned tremendous goodwill for its office automation and IT products. Printers, point-of-sale terminals, telephone call monitors, telecom products and information kiosks were some of the popular products of Transmatic.

The company that went public in 1994 lost its pre-eminence in research and development and product design during the late 90s. Transmatic has attributed its crisis due to non-payment of dues by large customers. Presently, it is listed in Bombay and Cochin stock exchanges.

Meanwhile, Accel officials said that post-acquisition, Transmatic would diversify into embedded software development and contract manufacturing. For the past one year, Accel Ltd handled marketing and distribution of Transmatics.

(CNS)