DCM Shriram bags board approval for acquiring 50% stake in JV Shriram Axiall from US-based Axiall

Shriram Axiall (SAPL) is a joint venture between the company and USA-based Axiall LLC.

Sep 14, 2021 03:09 IST India Infoline News Service

DCM Shriram receives the board of directors approval for acquiring 1,732,500 equity shares of Shriram Axiall from Axiall LLC, which is an entire 50% of the paid-up share capital held by Axiall LLC in SAPL.

Shriram Axiall (SAPL) is a joint venture between the company and USA-based Axiall LLC.

In its regulatory filing, DCM Shriram said that as per the JV agreement, Axiall LLC has given us the option, either to buy their shares in SAPL or to sell the Company's shares in SAPL to Axiall LLC. The Board of Directors of the Company considered the above options and the proposal to acquire/buy the entire 50% shareholding held by Axiall LLC in SAPL, has been approved by the Board.

Post-acquisition, SAPL will become the wholly-owned subsidiary of the Company.

The cost of acquisition is at Rs137.49 per share aggregating to over Rs23.80cr. The transaction is expected to complete within 30-40 days.

On Sensex, DCM Shriram finished at Rs969.50 per piece up 0.3%. 

Related Story

Open Free Demat Account (Rs699)