Indian adhesives manufacturer, Pidilite Industries on Wednesday said that it has completed the acquisition of the US-based Huntsman Group’s Indian subsidiary for Rs 2,100 crore.
“The company has completed the acquisition of 100 per cent stake in Huntsman Advanced Materials Solutions Private Ltd (HAMSPL), on November 3, 2020. As such, HAMSPL is now a subsidiary of the company,” said Pidilite Industries in a regulatory filing.
In India, HAMSPL manufactures and sells adhesives, sealants and other products under its brands such as Araldite, Araldite Karpenter and Arousal. The company’s revenue from operations in 2019 was around Rs 400 crore.
Apart from the trademark licence of the Middle East, Africa and ASEAN countries, the deal also includes Huntsman’s Indian subcontinent business to be transferred to the manufacturer of the popular adhesive brand Fevicol.
Under the deal, Huntsman received 90 per cent of the amount as a cash consideration at closing and the rest 10 per cent within the 18 months if the business achieves expected sales revenue in-line with 2019.