Apcotex acquires Omnova Solutions

Apcotex Industries (Apcotex) has acquired 100 per cent of the equity capital of Omnova Solutions India (OSIPL) in an all-cash deal, the company informed the exchanges. The enterprise value of the transaction is ₹36 crore and Apcotex plans additional deployment of about ₹40 crore in the acquired business. The acquisition has been funded entirely through internal accruals, it said in the notification. The deal is to align Apcotex's long-term strategy to tap the full potential of the emulsion polymers industry, through organic and inorganic growth. According to Apcotex, OSIPL is the only producer of nitrile rubber in India and only the second producer of high styrene rubber after Apcotex. It has a factory in Valia, Gujarat. The acquired business will add muscle to Apcotex through additional gross revenue of around ₹200 crore. Shares of Apcotex rose 2.87 per cent at ₹204.15 on the NSE.