UPL exits Brazilian JV with Sipcam, sells stake for $58.5 million1 min read . Updated: 20 Jun 2014, 07:46 PM IST
The firm sold its 50% stake to partner Sipcam Italia to release funds to meet growing business requirements
New Delhi: In its first major divestment, agrochemicals major UPL Ltd has completed the process of selling its 50% stake in Brazilian joint venture firm Sipcam UPL Brasil SA for $58.50 million (over ₹ 352 crore), the firm said in a BSE filing on Friday.
On 1 April this year, UPL (formerly known as United Phosphorus Ltd) had said it had entered into an agreement with Italian company Sipcam Italia SpA to sell its entire stake in Sipcam UPL Brasil, in which both companies had an equal share.
In an earlier filing, the UPL had said this divestment would release the funds to the company which would be available for new opportunities and meet growing business requirements. It would also help UPL have a more focused approach for the Brazilian agrochemicals market.
UPL also has a stake in another Brazilian firm, UPL do Brasil Industria e Comerciode Insumos Agropecuarios SA, where it has recently raised stake to 73%.
The company’s revenue for the year ended 31 March 2013 was about ₹ 91.8 billion. Shares of UPL on Friday closed 3.15% down to end at ₹ 313.10 apiece on the Bombay Stock Exchange.