Agrochemical major UPL Ltd has acquired a 26% equity stake in Weather Risk Management Services (WRMS) for Rs 10 crore in cash, as per stock market disclosure.
UPL has entered into an agreement with WRMS, the promoters of WRMS and the subsidiary of WRMS, namely INGEN Technologies (INGEN). As per the agreement, UPL will subscribe to 37,681 equity shares constituting 26% share capital of WRMS.
The formalities related to the acquisition are expected to be completed within 90 days.
This collaboration will help UPL in providing farm services, precision fanning solutions and several other value added services to farmers. UPL would leverage on technology platform developed by WRMS, to strengthen its relationship with farmers, the statement said.
UPL (formerly United Phosphorus) is a global player of crop protection products and has customers in 123 countries.
It has subsidiary offices in Argentina, Australia, Bangladesh, Brazil, China, Canada, Denmark, Indonesia, France, Hong Kong, Japan, Korea, Mauritius, Mexico, New Zealand, Russia, Spain, Taiwan, South Africa, the US, the UK, Vietnam and Zambia.
On the other side, WRMS was incorporated in 2004 and is primarily engaged in providing agriculture risk management solutions which include weather information and forecast services, agriculture decision support system services, precision farming services, and crop insurance products to farmers.
WRMS provides data analytics services to sectors such as renewable energy. It has recently started projects in Bangladesh, Cambodia and other Asian countries as well.
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