SRF signs agreement for acquisition of Global DuPont™ Dymel® Pharma Business

Pursuant to an authorisation from the Board a definitive Agreement has been signed on December 31, 2014 by SRF Ltd. with E.l. DuPont De Nemours and Company, USA, effective immediately upon signing.

Under the transaction SRF acquires Global DuPont™ Dymel® HFC 134a Pharma Business, will own Du Font's 'Dymel' brand and receive the technology and knowhow for setting up its own 'current Good Manufacturing Practices' (cGMP) facility for manufacturing HFC 134a Pharma grade. DuPont will supply SRF the product from its existing facility till SRF's facility is approved. The consideration for the transaction is USD 20 million payable in cash.

SRF Limited has two plants for manufacture of technical grade of HFC 134a. It is envisaged that HFC 134a pharma will form a part of the downstream products from these plants. It is SRF's endeavour to constantly move up the value chain and this acquisition is a move in that direction.

Shares of SRF LTD. was last trading in BSE at Rs.922.4 as compared to the previous close of Rs. 879.65. The total number of shares traded during the day was 333716 in over 22836 trades.

The stock hit an intraday high of Rs. 972 and intraday low of 909.7. The net turnover during the day was Rs. 315893060.

Source : Equity Bulls

Keywords