Jayant Agro buys out Mitsui stake in Ihsedu Speciality Chemicals
08 Aug 2011
Jayant Agro Organics Ltd has acquired the 24 per cent paid-up share capital held by Mitsui Group in Ihsedu Speciality Chemicals Pvt Ltd (ISCPL), raising its stake in the company to nearly 100 per cent.
In a filing with the Bombay Stock Exchange (BSE), Jayant Agro said it has entered into a share purchase agreement with Mitsui and Co Ltd, Japan and Mitsui & Co (Asia Pacific) Pte Ltd, Singapore to acquire 24 per cent of the paid-up share capital held by Mitsui Group in Ihsedu Speciality Chemicals Pvt Ltd (ISCPL).
Jayant Agro already holds 75.96 per cent of the paid-up share capital of ISCPL. The balance 0.04 per cent of the paid-up share capital of ISCPL is held by other promoter companies and Jayant Agro plans to acquire those as well, the company said in its filing.
On acquiring the reaming shares, ISCPL would become a wholly owned subsidiary of Jayant Agro, the company said.
Mitsui Group has also entered into a non-exclusive distributorship arrangement with ISCPL and Jayant Agro for distribution of ISCPL's products, which will continue as per agreed terms and conditions, the company said in its stock exchange filing.
Jayant Agro Organics has reported net sales (income from operations) of Rs326.54 crore for the quarter ended 30 June 2011 against Rs271.40 crore for the quarter ended 30 June 2010.
The company's net profit for the quarter ended 30 June 2011 stood at Rs2.84 crore against Rs0.42 crore for the quarter ended 30 June 2010. Earnings per share (EPS) stood at Rs1.90 for the quarter against Rs0.28 for the quarter ended 30 June 2010.
Jayant Agro-Organics Limited is an emerging global oleo chemical company with leadership in the castor-based specialty chemicals industry.
