S H Kelkar & Company To Acquire Anhui Ruibang Aroma, China
S H Kelkar and Company Limited have informed that the board has approved the acquisition of Anhui Ruibang Aroma Co Ltd ("Anhui"). Incorporated in the year 2013, Anhui is a leading aroma ingredients company in China.
The company, through its subsidiary Keva Fragrance Industries Pte. Ltd, Singapore, shall acquire 66.7% equity stake as the first tranche at a consideration of RMB 18 million in Anhui. The second tranche of 23.3 % shall be acquired at a consideration of RMB 6 million within 18 months with current promoters holding not more than 10% of Anhui's equity.
Acquisition of Anhui will give the Company access to alternate Tonalid manufacturing facility thereby ensuring no supply disruptions to customers. Acquisition of Anhui will also enable the Company to control consolidate market position for Tonalid. Requisite approvals and consents in connection with the acquisition have been obtained.