India Glycols acquires control over Shakumbari Sugar

New Delhi: India Glycols Ltd (IGL), a petrochemicals and specialty chemical player, has acquired a controlling stake of 96.56 per cent in Shakumbari Sugar & Allied Industries Limited, located in Uttar Pradesh. The company acquired the majority stake at a consolidated price of Rs 47 crore, an IGL release said here. 'This acquisition is a first step towards attaining a complete backward integration for the company. This would greatly strengthen our position to enable us to operate at a optimum capacity required for a robust growth strategy of ours,' it said here.

Shakumbari Sugar & Allied Industries has a crushing capacity of 3,200 tonnes per day (TCD) along with a modern distillery of 40 kilo litres per day (KLPD). 'India Glycols is the largest producer of ethanol in the country. With this acquisition, the company would be vertically integrated to captively produce additional ethanol requirements. India Glycols would further enhance the capacity of this unit from 3,200 TCD to 7,000 TCD whereas the distillery's capacity would be expanded to 250 KLPD from the present 40 KLPD,' the release added.