Transaction Overview
Euro Pratik Sales Limited announced the acquisition of a 56% controlling stake in Fabwood Solutions LLP, which owns the business of M/s. Fab Wood. The aggregate investment amounts to ₹42.70 crore, which includes a capital infusion of ₹8.40 crore directly into Fabwood Solutions LLP.
Funding and Timeline
The transaction will be funded in phases through internal accruals, reflecting Euro Pratik's strong balance sheet and cash-generation capability. The acquisition is expected to be completed by October 8, 2026, subject to customary closing conditions.
Strategic Rationale
The acquisition marks Euro Pratik's entry into the premium timber and value-added wood products segment. It is expected to:
- Strengthen Euro Pratik's presence in South India
- Create cross-selling opportunities across both businesses
- Broaden market access through combination of Fab Wood's relationships and Euro Pratik's pan-India distribution network
- Strengthen product portfolio and support long-term growth
- Support the long-term objective of building an integrated platform for interior decorative and surface solutions
About Fab Wood Business
Founded in 1999, Fab Wood has established a strong presence in timber and value-added wood products across South India. Their portfolio includes:
- Timber
- Engineered wood solutions
- Cladding products
- Doors and other architectural wood applications
The business serves multiple customer segments including architects, interior designers, furniture manufacturers, contractors, builders, OEMs, and homeowners. Fab Wood is recognized for its focus on product innovation and new applications within the wood products category, supported by established operating infrastructure and processing capabilities.
Management Commentary
Mr. Pratik Singhvi, Chairman and Managing Director of Euro Pratik Sales Limited, stated: "The acquisition of controlling stake in Fab Wood Business is an important step in Euro Pratik's growth strategy. Following our acquisitions of URO Veneer World and Chawla Brothers, Fab Wood gives us an entry into the premium timber and value-added wood products segment, broadening our portfolio and expanding our addressable market."
He further added: "Fab Wood's established presence in South India and strong relationships with architects, designers, furniture manufacturers, contractors and builders complement Euro Pratik's distribution capabilities. Together, we see meaningful opportunities to strengthen market access, create cross-selling opportunities and deliver a more comprehensive offering to our customers."
Strategic Context
This acquisition represents Euro Pratik's third strategic acquisition in a short period, demonstrating the company's focused approach to geographic expansion and product diversification. Previous acquisitions of URO Veneer World and Chawla Brothers strengthened the Company's regional footprint, while the Fab Wood acquisition adds an adjacent category with potential to enhance customer engagement and support long-term growth.
Company Background
Euro Pratik Sales Limited is described as one of India's leading organised brands in decorative wall panels and laminates, offering a design-led portfolio across more than 30 product categories and over 3,100 designs. The company operates through an asset-light business model with extensive distribution network and collaborations with architects, interior designers and furniture manufacturers, serving customers across India and international markets.
Disclaimer
The release includes standard safe harbor language noting that certain statements may be forward-looking and subject to risks and uncertainties. Financial figures have been rounded off to nearest whole number.