Kubota Corporation, a leading global tractor and machinery manufacturer from Japan, will acquire 10 per cent equity stake, on a post capital reduction basis, in Escorts Ltd., a leading engineering conglomerate in India, in order to integrate and deepen their relationship towards achieving their mutual ambition of global leadership.

Escorts will issue and allot 12,257,688 equity shares through a preferential issue to Kubota at an issue price of Rs 850 per equity share.