Jain Irrigation Systems Ltd, is acquiring its international partner in the 50:50 Israeli joint venture NaanDan Irrigation, for an undisclosed sum. This acquisition follows a call option exercised by Jain Irrigation which first picked 50 per cent stake in the JV in 2007.
NaanDan is into irrigation solutions with nine subsidiaries around the world and six production sites – two of which are located in Israel (Kibbutz Naan and Kibbutz Dan).
In the past five years, NaanDan has absorbed investments of Rs 125 crore for drip irrigation and sprinklers equipment both in Israel and in NaanDan subsidiaries worldwide.
Yes Bank acted as financial advisor for Jain Irrigation Systems on the deal.
Anil Jain, managing director of Jain Irrigation and the chairman of NaanDan, said, “This is an immense opportunity to expand our activity in the world in areas that provide solutions to the growing global climate change, water, food and energy crises.”
Jain Irrigation is one of the largest players in the agro-industrial business controlling a large chunk of the irrigation market, particularly in micro and drip irrigation segment. It owns companies and plants throughout India, as well as in the USA, the UK, Turkey, Switzerland and Israel, with a workforce of more than 7000 employees.
It has business presence in three complementary sectors: water and irrigation; agriculture, farming and processing food; clean energy, including solar energy.