United Phos set to buy Cerexagri
United Phosphorus, the country’s largest agrochemical company, is all set to acquire Cerexagri for euro 111 million (nearly Rs 637 crore).
The acquisition, fifth in a row this calendar, will make United Phosphorous the third largest generic agrochemical company in the world. This year, the company had acquired Advanta BV, Crop Serve, some products from Bayer Cropscience and Bensulfuron from DuPont.
Sources close to the development said both the parties had reached the final stage of agreement. A deal might be announced late this evening or tomorrow morning, they added. United Phosphorus is being represented by YES Bank and Close Brothers for this transaction.
United Phosphorus posted consolidate sales of Rs 1,840 crore last year. Cerexagri is the crop-science business unit of Arkema Inc with annual revenue of about euro 200 million (nearly Rs 1,150 crore).
It specialises in plant protection products, mainly fungicides, which account for about 75 per cent of its business, and post-harvest treatment products for fruits and vegetables where it is the market leader.
Cerexagri has over 70 years of experience in the global market. The company has a strong distribution presence in Europe and the US which together account for about 80 per cent of its business.
The company has manufacturing sites in Europe with employment of 630 personnel. Industry sources said United Phosphorus’ product offering of insecticides, herbicides and fumigants fits well with the complementary range in fungicides of Cerexagri.
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