Leading agriculture conglomerate Jain Irrigation Systems Limited (JISL) shares registered a jump of 12% on NSE (at 12:52 pm) on Wednesday as BSE Sensex fell 667 points at 51,897. The surge in the price of the share has taken place soon after the JISL announced that it is planning to merge its International Irrigation Business with Rivulis Pte Ltd, part of Singapore based Temasek Group.
According to reports, the cash proceeds are expected to be utilized for paying off overseas debt to the tune of Rs 2700 crore.
Yesterday also the shares of the company registered a rise of 20% to close at Rs 37.50 apiece on NSE. In the past one week the shares have zoomed 18%. On BSE the shares have gained 12.53% at Rs 42.20 apiece.
The wholly owned subsidiary of Jain Irrigation, Jain International Trading B.V., and Singapore based Temasek Group's owned Rivulis have inked a definitive transaction agreement.
According to the Jain Irrigation Systems Limited's press release to the BSE, " On 21 June 2022, JITBV announced that JITBV, along with Jain (Israel) B.V., a wholly-owned subsidiary of JISL (together with JITBV, the "Sellers") entered into a share purchase agreement (the "SPA") dated 21 June 2022 with Rivulis Pte Ltd. (the "Buyer") for the sale and purchase of the entire issued share capital (the "Shares") of Gavish Control Systems Ltd., Jain America Holdings Inc. and NaanDan Jain Irrigation Ltd. and their respective subsidiaries (together, the "International Irrigation Business") comprising JISL's international irrigation business (the "Transaction")."
Jain Irrigation Systems Limited ("JISL") with its motto 'Small Ideas, Big Revolutions' with more than 10,500+ associates worldwide and revenue of ~USD 1 Billion, is an Indian multinational company with manufacturing plants in 30 locations across the globe. The current market capitalization of the company is Rs 2,488 crore.