United Phos up on Down Agro arm buyout

DALAL STREET SPIKES

United Phosphorous spurted after the company announced purchase of the propanil herbicide business from Dow AgroSciences for $25 million.

The scrip witnessed heavy volumes of 7.8 lakh shares, double the average daily volumes and settled at Rs 314.10, up 7.09 per cent. Being a global product, propanil has more than 100 registrations in 30 countries of North America, Latin America, Europe, Africa and the Asia-Pacific.

In 2005, revenues from the product stood at $18.9 million. This purchase will allow United Phosphorous and its subsidiaries around the world, to sell propanil and its formulations.

It will help to strengthen the company's position in the rice herbicide segment. Agrochemicals major, United Phosphorous has acquired six companies during this calender year.