France’s chemicals producer Arkema SA has acquired 24.9 per cent stake in a JV with Jayant Agro Organics Ltd, a Mumbai-based castor oil producer. The joint venture will manufacture and sell industrial and specialty grade castor oil products. Arkema will hold 25 per cent stake in the JV called Ihsedu Agrochem Pvt Ltd (IAPL).
Arkema is picking up the stake for Rs 27.9 crore, the BSE was informed in a disclosure. Jayant Agro now holds 75.1 per cent of the total paid up equity share capital of IAPL. As part of the investment, Arkema Asie SAS has appointed two directors on the board of IAPL.
The announcement was made in April this year, but the deal size was not disclosed then.
After forming this separate venture, public-listed Jayant Agro will only focus on producing and marketing value-added castor oil products. BMR Advisors acted as the advisor to Jayant Agro Group on this deal while J Sagar Associates acted as the legal advisor to the group.