Sumitomo Chemical acquires New Chemi Industries

17 Dec 2010

Japan's Sumitomo Chemical Company today announced the acquisition of a 100 per cent stake in New Chemi Industries, an established agrochemical manufacturer based in Mumbai, as part of its expansion plans in India.

The acquisition, the cost of which has not been revealed, will strengthen Sumitomo's portfolio of crop protection products in India.

New Chemi, set up in 1961, has a large portfolio of crop protection products and has been the partner of Sumitomo Chemical's manufacturing joint venture company in India since 2000.

Sumitomo Chemical had acquired 90 per cent stake in House Hold Remedies Pvt Ltd, a manufacturer of agricultural chemical intermediates owned by New Chemi Industries. The company has since been renamed SC Enviro Agro India Pvt Ltd and made Sumitomo's subsidiary.

The latest acquisition would complement the existing product lines being offered by SC Enviro Agro India Pvt Ltd, which manufactures household insecticides and agricultural chemicals, the company said in a release.

Sumitomo Chemical, which has a leading position in the market, plans to use the acquisition to further strengthen its operations in crop protection products and enhance its presence and growth in India, one of the fast growing markets for crop protection products.