Tata Chemicals gets 25% remaining stake from U.S. unit for $195 million
Tata Chemicals, via its wholly-owned subsidiary, Valley Holdings Inc., has bought the remaining 25% partnership interest in Tata Chemicals Soda Ash Partners Holdings (TCSAP) from The Andover Group, Inc., a subsidiary of Owens-Illinois Inc. for $195 million or ₹1,386 crores.
Talking about the deal, R. Mukundan, Tata Chemicals Limited’s Managing Director & CEO shared, “With this deal, Tata Chemicals will have full ownership of the North American business and will make the enterprise architecture simpler for the future.”
For the year ending March 2019, TCSAP had a turnover of $465.5 million and an EBITDA of $100.7 million.
“The acquisition is expected to be EPS accretive. We will continue to invest in our Green River facility to meet market demand and serve our customers globally,” Mr. Mukandan added.
Tata Chemicals share on BSE were trading up 1.75% at ₹660 in a firm Mumbai market on Friday, valuing the company at ₹16,829 crores.