Indorama Ventures (IVL), the Bangkok-headquartered polyester producer founded by billionaire Indian-origin businessman Aloke Lohia, is close to acquiring a strategic majority stake in Kolkata-based Chandra Kumar Dhanuka’s petrochem business. IVL, one of the world’s largest polyester producers with sales of $6.8 billion (Rs 46,770 crore) in 2015, will acquire a substantial stake in Dhunseri Petrochem and manage the company jointly with the Dhanukas, people in the know said. The enterprise value of Dhunseri’s petrochem business is about Rs 1,200 crore, sources said. Dhunseri Petrochem’s shares closed at Rs 74.50 on the BSE on Friday, giving the company a market capitalisation of just over Rs 278 crore. Details of the likely deal such as financial terms couldn’t be ascertained. A formal announcement is expected as early as Monday. The Dhanuka family holds 67.28% of the listed Dhunseri Petrochem. The balance is with public shareholders. Once the deal gets sealed, the Dhanukas may concentrate on their core business of tea.
Source: Economic TimesIVL set to acquire strategic stake in Dhunseri Petrochem.
Industry: Petroleum 2016-02-29
