Tata Chemicals Buys Out Andover Group’s Stake In Soda Ash Unit
Tata Chemicals Ltd. has acquired Andover Group’s 25 percent stake in Tata Chemicals (Soda Ash) Partners Holdings for $195 million, or Rs 1,387.20 crore.
With this acquisition, Tata Chemicals has increased its ownership in Tata Chemicals (Soda Ash) Partners to 100 percent, the company said in statement.
"Tata Chemicals, through its wholly-owned subsidiary Valley Holdings Inc., has acquired the remaining 25 percent partnership interest in Tata Chemicals (Soda Ash) Partners Holdings from The Andover Group, a subsidiary of Owens-Illinois Inc. for $195 million," the company said.
"With this transaction, Tata Chemicals will have full ownership of the North American business and will further simplify enterprise architecture," R Mukundan, managing director and chief executive director at Tata Chemicals, said.
The acquisition is expected to be earnings per share accretive.
"We will continue to invest in our Green River facility to meet market demand and serve our customers globally," Mukundan said.
On Friday, Tata Chemicals shares rose 0.02 percent to Rs 649.40 apiece on the NSE while the benchmark Nifty 50 gained 0.10 percent to end the day at 12,271.80 points.