Link Legal India Law Services represented the promoters of Mystair Hygiene Care when they sold a controlling stake in the company to Osaka-based Saraya, which was advised by Business Law Chamber.
The deal, signed on 10 June and closed on 6 July, was reportedly for acquisition of a 70% stake at about US$4.7 million.
However, at the end of five years, Saraya will hold 100% of the shareholding of Mystair, according to Vinu Peter Immanuel, an associate partner at Link Legal who advised on the deal, along with senior associate Pragathi Prakash.
“Saraya wanted the promoter of Mystair to remain the CEO and continue to hold a substantial portion of shares in Mystair for a period of five years from the closing date,” Immanuel told India Business Law Journal, adding that structuring the share purchase agreement – with its two-tranche closing – and the shareholders’ agreement “entailed a lot of discussions”.
He said that Saraya also wanted the CEO agreement “to be tailored in a manner to provide a Japanese flavour”.
Business Law Chamber’s team comprised managing partner Gaurav Shanker, senior associate Anshika Agarwal and associate Yamini Mishra.
Mystair, which is based in Manesar, in Haryana, provides hygiene products for customers in various sectors including aviation, health, hospitality and education.
Saraya, a manufacturer of infection control, sanitation and hygiene products, has 12 factories, three research laboratories and more than 1,800 employees supporting customers across the Asia-Pacific, North America and Europe.