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Last Updated : Jun 06, 2016 12:51 PM IST | Source: PTI

Sumitomo buys 45% in Excel Crop, launches open offer for 30%

Mumbai-based Excel Crop Care in a filing to the BSE said that its board in a meeting today approved a share purchase agreement between the company, its promoter group entities and certain public shareholders, and Sumitomo group.


Japanese conglomerate Sumitomo has acquired 44.98 percent stake in Excel Crop Care for around Rs 623.44 crore and also announced launch of Rs 415.80 crore open offer to acquire further 30 percent stake in the company.


Mumbai-based Excel Crop Care in a filing to the BSE said that its board in a meeting today approved a share purchase agreement between the company, its promoter group entities and certain public shareholders, and Sumitomo group.


Under the agreement, Sumitomo group is acquiring over 49.5 lakh equity shares of the company at a price of Rs 1,259.36 apiece, from the company, promoter group entities and certain public shareholders, comprising members of Ratnabali group, the filing said.

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The company and promoter group entities are selling 27,20,501 shares, aggregating to 24.72 percent stake of total paid up equity share capital to Sumitomo Chemical Company and its nominees.


Besides, Sumitomo Chemical Company is acquiring 22,30,000 equity shares, aggregating to 20.26 percent stake, from public shareholders.


In a separate filing, Excel Crop Care said that Sumitomo will launch an open offer for public shareholders to acquire over 33 lakh share, constituting 30 percent stake, at a price of 1,259.36 apiece, amounting to Rs 415.80 crore.

With this, the original promoters of Excel Crop will completely exit the business, said MD Dipesh Shroff in an interview to CNBC-TV18, adding, they have no intention to re-enter the business in the future.

Sumitomo will bring in research products and this will help Excel scale new highs, he said.

With inputs from CNBC-TV18. 



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First Published on Jun 6, 2016 07:28 am
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