Reliance petroleum retail acquires the polyester biz of Shubhalakshmi polyesters and Shukhlaxmi Polytex for Rs1,522 crore and Rs 70 crore in cash. This acquisition is approved by the Competition Commission of India (CCI) and the lenders of SPL and SPTex.
The SPL has a polymerization capacity of about 2,52,000 annum and manufactures polyester fiber, textile grade, and yarn chips through a direct polymerization route. They have two manufacturing facilities which are located in Dahej, Gujarat, and Silvassa, Dadra, and Nagar Haveli.
The acquisition was made by the Reliance company to expand its downstream polyester business. RIL stepped out of the race to acquire the petrochemicals unit of JBF Industries, and it is undergoing bankruptcy proceedings. But RIL did not give any reason for the exit t that time.
- Who acquired the Shubhalakshmi Polyesters?
Ans. Reliance Industries
- At which rate does Reliance acquire Shubhalakshmi Polyester?
Ans. Rs 1,592 cr
- Will the deal be in cash?
Ans. Yes, the deal will be in cash.