Shree Renuka Sugars on Tuesday said it has entered into an agreement to acquire a 100 per cent stake in Anamika Sugar Mills for Rs 235.5 crore.
Renuka Sugars is one of the leading sugar firms in the country.
In a regulatory filing, Shree Renuka Sugars informed that it has "entered into a binding agreement i.e., the Share Purchase Agreement, dated 26th September 2023, with Anamika Sugar Mills Pvt Ltd for acquisition of 100 per cent of the equity shares of Anamika".
The company intends to establish a presence in Uttar Pradesh, one of the largest sugar-producing states, and to cater to the markets of north and east India.
"Acquisition of Anamika would enable the Company to gain access to existing sugarcane catchment area with a significant reduction in lead time for setting up the plant in Uttar Pradesh and easy access to skilled/unskilled labour," it added.
The company said it might expand and modernise the plant.
Anamika will become a wholly-owned subsidiary of the company.
Shree Renuka Sugars said it will acquire "100 per cent equity (for) - Rs 235.5 crore (5,00,48,589 equity shares at Rs 47.05 per share)".
The current crushing capacity of Anamika is around 4,000 tonnes per day.
(Only the headline and picture of this report may have been reworked by the Business Standard staff; the rest of the content is auto-generated from a syndicated feed.)