Shree Renuka Sugars to acquire 100 per cent stake of Anamika Sugar Mills Private Limited for Rs 235.5 crore, the company announced through an exchange filing. The company is paying Rs 110 crore for primary infusion for redemption of preference shares.
The price per share for the primary infusion will be determined in due course by the board of directors of Anamika in consultation with the Company.
Shree Renuka Sugars acquired Anamika Sugar Mills to establish 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 areas with a significant reduction in lead time for setting up the plant in Uttar Pradesh and easy access to skilled/unskilled labour.
Post-completion of the acquisition, Anamika will become a wholly-owned subsidiary of the Company.
Anamika is a private limited company incorporated on 12, March, 2010 under the Companies Act, 1956 (Act).
Anamika is engaged in the business of cultivation, manufacturing, processing, refining, distribution, marketing and/or trading of sugar and sugar products, byproducts and derivatives of sugar, generation of electricity from sugar byproducts and all activities incidental or necessary. The current crushing capacity of Anamika is around 4000 TCD. The operations of Anamika are limited to India.