Ester Industries completes sale of engineering plastics business for Rs289.33 crore

16 Sep 2022 , 11:26 AM

On May 6, 2022, Ester Industries Limited entered into a final agreement to sell its Engineering Plastic Business to Radici Plastics India Private Limited in an all-cash slump sales deal valued at Rs289.33 crore.

The divestment of Ester Industries’ Engineering Plastics Business to Radici Plastics India Private Limited was finalised and concluded on September 15, 2022, according to the company.

This strategic divestment will not only strengthen Ester Industries’ balance sheet but will also provide the necessary expansion capital for scaling up its capacity in business sectors where the Company thinks there is a chance to increase shareholder value.

Following the completion of this deal, Ester’s management will be able to increase its attention on its core businesses of Polyester Films and Specialty Polymer industries.

Ester will continue to concentrate on developing unique and game-changing products in its Specialty Polymer business, while also enhancing the product mix in its Film business by boosting the percentage of value-added products, said the company in its press release.

At around 11.31 AM, Ester Industries was trading at Rs174.35 down by 0.94% from its previous closing of Rs176 on the BSE. The scrip opened at Rs176 and touched intraday high and low of Rs179.10 and Rs173.25 respectively.

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