Agrochemical firm Best Agrolife Limited has announced the acquisition of Best Crop Science Pvt Ltd in ₹101.6 crore deal. The buy-out will support Best Agrolife’s backward integration with robust R&D synthesis in manufacturing of active ingredients of herbicides, insecticides and fungicides.

On Thursday, the board of Best Agrolife board approved the acquisition, a share-swap deal by way of preferential issue.

The buyout will help Best Agrolife in diversifying its risk and strengthening its manufacturing base with addition of another unit at Gajraula, in Uttar Pradesh, the company said in a statement.

Shares of Best Agrolife touched a 52-week high of ₹840.30 on Friday before closing at ₹811.30 on the BSE.

Best Crop Science holds over 85 active ingredient manufacturing licenses which includes some highly advanced import substitutes like Dinotefuran and Pyraclostrobin, which have come out of patent in recent past.

Fungicide vertical

Recently, Best Crop got the approval of Central Insecticide Board & Registration Committee for indigenous manufacturing of Trifloxystrobin Technical, a fungicide.

With this new addition, Best Agrolife becomes the first agrochemical company in India to manufacture and market Trifloxystrobin Technical, a fungicide which has enormous demand in the domestic and global markets of North America, Europe, Asia-Pacific, South America, West Asia and Africa. This acquisition will help Best Agrolife Limited to increase its revenue by 40 per cent on the back of these in-demand products.

“We will be able to fill critical service gaps with this acquisition and this will enable us to utilise our expertise in increasing the reach through our strategic alliances with leading agrochemical companies of India and through an extensive network of over 3000 distributors and dealers,” said Vimal Alawadhi, Managing Director, Best Agrolife, in a statement.

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