Vikas Ecotech Hits 5% Upper Circuit After Acquiring Plasticizer Manufacturing Business For Rs 27 Cr

Vikas Ecotech, a leading provider of high-end speciality chemicals hit a 5% upper circuit on Wednesday morning deals after acquiring 100% equity of an existing Plasticizer Manufacturing Business in a cash deal.

Vikas Ecotech Limited is happy to announce that, in an all-cash transaction, the firm has acquired the entire stake of an established plasticizer manufacturing business with an enterprise value of Rs 270 million. It is planned for the transaction to be finished by December 2023.

"The company in the pursuit of broad-basing its business interests via adding newer Products, Markets and investments in vivid and vibrant business segments has finalised this acquisition and signed a definitive Share Purchase Agreement to buy 100% Equity from its existing shareholders. The products offering of the acquired Plasticizer Manufacturing Business perfectly complement and enhance company's existing product basket," said Vikas Ecotech in a stock exchange filing.

Specialty polymers & specialty additives and chemicals for plastics & rubbers industries are the primary focus of Vikas Ecotech Ltd., a New Delhi-based business that serves a broad range of applications in agriculture, infrastructure, packaging, electrical, footwear, pharmaceuticals, automotive, medical devices and components, and other consumer goods.

In a stock exchange filing Vikas Ecotech said it is also expanding its business and product portfolio and has added many niche materials and consumer (final) products to its conventional (raw material businesses) profile. The new business segments include Infrastructure Products like Steel Pipe Fittings, MDPE Pipes for Gas applications to its business lines.

On Wednesday, the shares of Vikas EcoTech opened on the BSE at Rs 3.48 apiece and were trading at a 5% upper circuit limit of Rs 3.50 while writing this copy.