Reliance acquires Shubhalakshmi Polyesters for ₹1,592 crore | Techno Glob


The acquisition will strengthen Reliance’s textile manufacturing business.

The acquisition will strengthen Reliance’s textile manufacturing business.

Billionaire Mukesh Ambani’s Reliance Industries Ltd has acquired polyester yarn and shavings maker Shubhalakshmi Polyesters Ltd for ₹1,592 crore, the company said in a stock exchange filing.

“Reliance Petroleum Retail Ltd (trading as “Reliance Polyester Ltd”), a wholly owned subsidiary of the Company, today signed definitive documents to acquire the polyester businesses of Shubhalakshmi Polyesters Ltd and Shubhlaxmi Polytex Ltd for a cash consideration of Rs 1,522 crore and Rs 70 crore respectively, totaling Rs 1,592 crore through a down sale on a going concern basis,” the company said.

The agreement is subject to the approval of the Competition Commission of India (CCI) and the respective lenders of SPL and SPTex.

The acquisition will strengthen Reliance’s textile manufacturing business.

SPL produces textile grade polyester fibers, yarns and shavings through direct polymerization as well as extruder spinning with added value through texturing. It has a continuous curing capacity of 2.52,000 tons per year. The company has two production sites, one at Dahej in Gujarat and one at Silvassa in Dadra and Nagar Haveli. In Dahej, SPTex operates a textured yarn production plant.

“The acquisitions are part of the company’s strategy to grow its polyester business downstream,” Reliance said.

SPL recorded revenues of ₹2,702.50 crore, ₹2,249.08 crore and ₹1,768.39 crore in fiscal years 2019, 2020 and 2021, respectively. SPTex recorded revenues of ₹337.02 crore, ₹338.00 crore and ₹267.40 crore, respectively.



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