Brenntag aquires Majority Stake in Raj Petro Specialties
Global chemical distributor Brenntag AG (Essen, Germany) earlier this week announced that the company has signed an agreement to enter into a 65/35 Joint Venture with Raj Petro Specialties Pvt. Ltd. (Mumbai and Chenai, India). The company distributes its own branded blends of petroleum-based products like Transformer Oils, White Oils, Paraffins, Petroleum Jelly, Process Oils, Waxes or Solvents to a range of customer industries in India and several other countries in Asia-Pacific, Africa and the Middle East. The product portfolio also comprises Automotive and Industrial Lubricants
The business is expected to generate total sales of approximately EUR 180 mn in FY2017/18, which will end on 31. March 2018. Brenntag said it will gain a majority share of 65% with this first trance to be closed in April next year. The remaining 35% will transfer in a second tranche after a period of five years, during which the business will be operate as a joint venture. An extension of this period by one to two years is possible, Brenntag said.
Closing of the transaction (tranche 1 / 65%) is expected to occur on 01. April 2018 , subject to contractually agreed closing conditions, Brenntag said. No financial details were disclosed on the transaction.
Source: Brenntag press release
HGE – DCG / 20.12.2017