 "Clariant Chemicals surges 12% as board approves restructuring plan")
Shares of Clariant Chemicals (India) moved higher by 12 per cent to Rs 356 on the BSE on Thursday after the board approved the restructuring plan by sale of Masterbatch Business to PolyOne Polymers for Rs 426 crore. The stock of specialty chemicals was trading at its highest level since April 4, 2019.
“The board approved the sale of Masterbatch Business to PolyOne Polymers India or its affiliate in India, on a going concern basis by way of slump sale for total consideration of Rs 426 crore,” Clariant Chemicals said in a regulatory filing.
The company said it signed agreement subject to the approval of the shareholders and all other applicable statutory approvals.
The amount of revenue contributed by Masterbatch Business unit is Rs 283 crore for the financial year 2018-19, which is 29 per cent of total revenue. While the unit contributed earnings before interest and tax (ebit) of Rs 4.57 crore for the last financial year, it added.
PolyOne Polymers India is wholly-owned subsidiary of PolyOne Corporation, a premier provider of specialized polymer materials, services and solution.
Last month, the board had approved the sale of business unit — Additives (BU - Additives) to Clariant India, a related party, on a going concern basis.
At 12:14 pm, Clariant Chemicals was up 11 per cent at Rs 353, as compared to a 0.20 per cent rise in the S&P BSE Sensex. A combined 279,920 equity shares changed hands on the counter on the NSE and BSE so far.
“The board approved the sale of Masterbatch Business to PolyOne Polymers India or its affiliate in India, on a going concern basis by way of slump sale for total consideration of Rs 426 crore,” Clariant Chemicals said in a regulatory filing.
The company said it signed agreement subject to the approval of the shareholders and all other applicable statutory approvals.
The amount of revenue contributed by Masterbatch Business unit is Rs 283 crore for the financial year 2018-19, which is 29 per cent of total revenue. While the unit contributed earnings before interest and tax (ebit) of Rs 4.57 crore for the last financial year, it added.
PolyOne Polymers India is wholly-owned subsidiary of PolyOne Corporation, a premier provider of specialized polymer materials, services and solution.
Last month, the board had approved the sale of business unit — Additives (BU - Additives) to Clariant India, a related party, on a going concern basis.
At 12:14 pm, Clariant Chemicals was up 11 per cent at Rs 353, as compared to a 0.20 per cent rise in the S&P BSE Sensex. A combined 279,920 equity shares changed hands on the counter on the NSE and BSE so far.
One subscription. Two world-class reads.
Already subscribed? Log in
Subscribe to read the full story →*Subscribe to Business Standard digital and get complimentary access to The New York Times
Smart Quarterly
₹900
3 Months
₹300/Month
SAVE 25%
Smart Essential
₹2,700
1 Year
₹225/Month
SAVE 46%
*Complimentary New York Times access for the 2nd year will be given after 12 months
Super Saver
₹3,900
2 Years
₹162/Month
Subscribe
Renews automatically, cancel anytime
Here’s what’s included in our digital subscription plans
Exclusive premium stories online
Over 30 premium stories daily, handpicked by our editors
Complimentary Access to The New York Times
News, Games, Cooking, Audio, Wirecutter & The Athletic
Business Standard Epaper
Digital replica of our daily newspaper — with options to read, save, and share
Curated Newsletters
Insights on markets, finance, politics, tech, and more delivered to your inbox
Market Analysis & Investment Insights
In-depth market analysis & insights with access to The Smart Investor
Archives
Repository of articles and publications dating back to 1997
Ad-free Reading
Uninterrupted reading experience with no advertisements
Seamless Access Across All Devices
Access Business Standard across devices — mobile, tablet, or PC, via web or app
SAVE 25%