Japan firm buys majority stake in Indian fertiliser company $34 m

Chennai:
Tokyo based SDS Biotech has acquired 65 per cent stake in Chennai-based Sree Ramicides for a enterprise value of $34 million.

Addressing a press conference here on Wednesday, managing director of Ramcides R Gopal and executive vice president and representative director of SDS Biotech Yuji Arai said that the strategic tie-up will boost Ramicide’s reach and capture a greater share of market.

As part of the transaction,  ePlanet Capital, which invested in Sree Ramicides in 2008, would sell its entire shareholding in Ramicides to SDS Biotech as part of this transaction.

SDS Biotech is subsidiary of Idemitsu Kosan, which is listed on Tokyo Stock Exchange with revenues of $47 billion and market cap of $ 3 billion.

Gopal said Sree Ramicides has three manufacturing facilities at Pudukottai, Ambattur in Chennai and Jammu. The total production capacity for different products is liquid, wettable powder and granules. These products find applications in both crop protection and crop health. The company offers 50 products in the crop protection segment.