Gujarat Glass buys 51 per cent in Ceylon Glass

22 Jun 1999

1

/companies/companies_g/Guj_Glass/images/images (7377 bytes)Gujarat Glass Ltd, a part of the Piramal Enterprises group that owns Nicholas Piramal India Ltd, has acquired a 51 per cent stake in Colombo-based Ceylon Glass for a consideration of Rs 19.5 crore. The Rs 45-crore Ceylon Glass makes glass packaging for pharmaceuticals, food, beverage and perfumes.

The Indian company will buy 39 per cent of Ceylon Glass from Sri Lanka's DFCC Bank and the remaining 12 per cent will be acquired through a public offer. Both transactions will be made at Sri Lankan Rs 23 per share (Rs 13.80 in Indian currency). If the public offer fails to garner the required stake, DFCC Bank will off-load an additional 10 per cent in favour of Gujarat Glass.

"Ceylon Glass has a good reputation and a large market share, and we feel that we can add value by further improving the quality," says Ajay Piramal, chairman, Piramal Enterprises.

"We wish to internationalise the operations of our glass business, moving into markets where our competitive advantage tells," he says. Ceylon Glass has a capacity to manufacture 100 tonnes per day. The company's net profit is equivalent to Indian Rs 2.44 crore.

Business History Videos

History of hovercraft Part 3 | Industry study | Business History

History of hovercraft Part 3...

Today I shall talk a bit more about the military plans for ...

By Kiron Kasbekar | Presenter: Kiron Kasbekar

History of hovercraft Part 2 | Industry study | Business History

History of hovercraft Part 2...

In this episode of our history of hovercraft, we shall exam...

By Kiron Kasbekar | Presenter: Kiron Kasbekar

History of Hovercraft Part 1 | Industry study | Business History

History of Hovercraft Part 1...

If you’ve been a James Bond movie fan, you may recall seein...

By Kiron Kasbekar | Presenter: Kiron Kasbekar

History of Trams in India | Industry study | Business History

History of Trams in India | ...

The video I am presenting to you is based on a script writt...

By Aniket Gupta | Presenter: Sheetal Gaikwad

view more
View details about the software product Informachine News Trackers