Ahmedabad-based Anil Ltd through its wholly-owned subsidiary Anil Life Sciences Ltd, has acquired the assets and the running business of Siddhi Vinayak Agro Industries Pvt Ltd (SVAIPL) which has plant and facilities at Chhindwara in Madhya Pradesh for Rs 46 crore ($7.6 million), the company said in a stock market disclosure.
The corn wet milling unit is located in a corn belt in central India providing access to North, East and South markets.
This acquisition is a part of Anil's strategy to grow the corn wet milling business organically, inorganically and in multi locations.
Incorporated in 2010, Nagpur-based SVAIPL manufactures, exports and supplies agro-based preparations that are used in food products and other materials. Its products include modified starches, dried corn gluten, dried corn fibre, dried corn germ, high maltose corn syrup, dextrose mono hydrate, dextrose anhydrous, corn oil and corn flour. The firm has a capacity of 150 TPD grind.
Anil Life Sciences is part of Rs 1,000-crore Anil Group. The group's flagship company Anil is one of India’s oldest corn wet millers.
Last September, the group announced its restructuring plan under which the existing corn wet milling and bio-industrial business of Anil Bioplus Ltd (ABL) will come under Anil Lifesciences and will also get listed on BSE.
Anil Infraplus Ltd will be merged into Anil Ltd and Anil Technoplus Ltd, a subsidiary of Anil Infraplus Ltd, will become a subsidiary of Anil Ltd after this re-alignment.
Shares of Anil Ltd closed at Rs 244.55 each, down 4.90 per cent on BSE in a flat Mumbai market on Monday.
Ahmedabad-based Nrups Consultants was the financial advisor and Wadia Ghandhy was legal advisor to the transaction.
(Edited by Joby Puthuparampil Johnson)