Maharashtra (Maharashtra) [India], Nov 15: Agrochemicals manufacturer UPL said on Friday it has entered into definitive agreements to acquire 100 per cent shares of Yoloo Laoting Biotechnology, an agrochemical company based in Heibei province of China, from Beijing Yoloo Bio-Technology Corporation.
The cost of acquisition is 13.3 million dollars (about Rs 95 crore). In the new company, UPL will own 75 per cent stake and while the remaining 25 per cent will be held by Beijing Yoloo. Laoting Yoloo is engaged in the business of manufacturing, distribution and commercialisation of crop protection products in China. UPL will build on the relationships that Laoting Yoloo has cultivated by serving their existing customers with the wider portfolio of UPL products.
With this acquisition, UPL will also have a formulation facility in China, which is one of the major crop protection chemical market. With this acquisition, UPL will strengthen its access in China market.
The acquisition will require regulatory approval from Foreign Investment Commission at Laoting country and Tangshan city level, registration with the Market Supervision and Administration Bureau at Laoting country level and filing with the State Administration of Foreign Exchange at Laoting county Level.
UPL, earlier known as United Phosphorus Ltd, is an Indian multinational company that manufactures and markets agrochemicals, industrial chemicals, chemical intermediates and specialty chemicals besides offering crop protection solutions.