EID Parry approves Roca tie-up
Chennai, Mar 20 (UNI) The EID Parry Board today approved the tie-up with Roca of Spain, world leaders in bathroom products for a 50:50 joint venture for the Parryware business.
Parryware business was transferred by EID Parry into its wholly- owned subsidiary, Parryware Glamourooms Private Limited on March one pursuant to the approval of shareholders, a release here said.
Roca was ranked the second largest company in the world in the business of the bathroom ceramics industry. It had a commercial presence in over 100 countries with a business volume amounting to Euro 1.6 billion. Together, Roca and Parryware would become the world's largest bathroom products company, the release claimed.
Roca would be investing 50 million Euro for their 50 per cent stake. This would be through a combination of direct subscription into the joint venture company and acquisition from EID Parry. This investment was subject to the approval of FIPB.
This joint venture would help Parryware register significant growth through improved manufacturing practices, better product offering, increased presence in international market and improve overall business value.
The Board of EID Parry, which met here, cleared the long term strategy of sugar business, which envisaged investment proposals aggregating to about Rs 850 crore to be implemented over the next two years, including Rs 300 crore under implementation.
The Board also decided to acquire Parry Nutraceuticals for Rs 32 crore and make it a wholly-owned subsidiary. Murugappa group had been investing in algae-based Nutraceuticals for over ten years and had succeeded in bringing certain certified products to a viable market state, which were on the verge of take off.
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