BackEss Dee Aluminium to pump in Rs600 cr in acquisitions
Ess Dee Aluminium to pump in Rs600 cr in acquisitions
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PTI
Kolkata: Aluminiums packaging firm Ess Dee Aluminium is striving for huge growth through the inorganic route earmarking Rs500-600 crore for acquisitions in the domestic and international markets.
“We want to add capacity through the inorganic route and acquisitions is our primary thrust for the next one year as growth through greenfield projects cannot meet our demand," Ess Dee Aluminium managing director Sudip Dutta told PTI.
He said the company has set aside about Rs500-600 crore most of which would be spent over next one year primarily in acquisitions.
The company is eyeing Kolkata-based India Foils currently under the Sterlite Group.
Confirming the development, Dutta said the company was in the fray for India Foils and has completed the Phase I of due-diligence.
“Deloitte is advising us and and I cannot say more unless the deal is finalized. We hope the process might be concluded over the next two months," he said.
India Foils has three units of which two are closed.
Dutta had sought state government assistance like electricity subsidy and sales tax waiver for the turnaround.
Ess Dee has also bid for Alcan’s packaging business which could be valued at $1 billion.
“It will take time, but we are still in the fray for Alcans packaging business, if it succeeds Ess Dee will have a essence in the cosmetic packaging industry."
Dutta said its first overseas greenfield aluminium foil unit production in Dubai will begin by March in which an investment of $35 million had been committed.
The company plans to set up one more unit in Sikkim in the near future. It has plants in Daman, Goa, Baddi and Vasai.
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