Coromandel International, India’s second largest phosphatic fertiliser player, has signed a term sheet to acquire the bio-pesticides business of E.I.D. Parry together with its wholly owned subsidiary Parry America, Inc, USA through a slump sale. The transaction is valued at ₹338 crore and additionally includes its R&D unit and captive plantations.
According to A. Vellayan, Executive Chairman, Murugappa Group, the transaction is to expand its crop protection business with organic movement gathering momentum in recent times and consequent, need for natural or microbial pest control solutions gaining traction. He added, “The acquisition enables the company to gain entry to this segment, provides access to the developed markets of the US and Europe, enhance its presence globally addressing multiple crop and consumer segments and provide integrated pest management solutions”.
Sameer Goel, Managing Director, Coromandel International stated that, presence of complementary market in both Indian and global markets provides opportunity for both chemical and bio-pesticides to grow.
EID Parry’s bio-pesticides business has a manufacturing facility in Tamil Nadu and manufactures azadirachtin using technology sourced from Trifolio, Germany.Its R&D unit has carried out extensive studies and have made significant progress on bio-stimulants, microbials and household pesticide segment for domestic and global markets.
Parry America, Inc, a 100 % subsidiary of E.I.D. Parry headquartered in US sources azadirachtin technical from bio-pesticides business in India, formulates and markets the products in North and South America, Canada and adjacent markets of US.