NSL Sugars expands with Rs231 crore purchase of Jay Mahesh Sugar Industries
08 Jul 2011
Bangalore-based NSL Sugars, a unit of the Hyderabad-based NSL Group has gone in for an expansion by acquiring the integrated sugar complex of Jay Mahesh Sugar Industries, for Rs231 crore.
NSL Sugars acquired Jay Mahesh, which has total asset worth around Rs300 crore, from Chandigarh-based Spray Engineering Devices. The cost of acquisition is not only based on the asset value but also the liabilities. The company however did not disclose the debt of Jay Mahesh.
Jay Mahesh has a sugar plant is located at Majalgaon in the Beed district of Maharashtra, with a crushing capacity of 5,000 TCD. The company is also engaged in manufacturing, processing, refining, selling, trading and exporting of sugar and various derivatives of sugar products.
It has a cane catchment area of 108 villages with an aggregate cultivable area of 83,460 hectares.
NSL Sugars plans to spend Rs150 crore in expanding the sugar crushing capacity of Jay Mahesh plant to 7,000 TCD by year-end and transforming the plant into 100 kiloliter per day distillation. It also has plans to set up a 30 MW cogeneration plant.
Bangalore-based NSL Sugars has plants in Koppa, Aland, Sirguppa and Ramakrishnapura across Karnataka and Andhra Pradesh. The company is also in the business of agricultural seeds, textiles, power, real estate and infrastructure businesses.