Hindustan Foods to acquire pest product facility from RB

Updated: Fri, Oct 27, 2017
05:59 pm
PTI
RELATED NEWS
UK investor body to apply red warning if a company's board lacks women UK investor body to apply red warning if a company's board lacks women
No-deal Brexit may cut Scottish GDP up to seven percent: Scotland's chief economist No-deal Brexit may cut Scottish GDP up to seven percent: Scotland's chief economist
Southwest shares drop as mechanics dispute escalates Southwest shares drop as mechanics dispute escalates
Standard Chartered fined $133 million by Britain's financial watchdog Standard Chartered fined $133 million by Britain's financial watchdog
Samsung announces folding phone with 5G - at nearly $2,000 Samsung announces folding phone with 5G - at nearly $2,000

FMCG firm Hindustan Foods (HFL) today said it will acquire the pest products manufacturing factory of Reckitt Benckiser India (RB) at Samba, Jammu as a going concern on a slump sale basis.

With the acquisition, the company is looking to achieve a minimum top line of Rs 125 crore.

HFL is in the process of acquiring the factory as a going concern on a slump sale basis and also the leasehold rights over the factory from the State Industrial Development Corporation (SIDCO,J&K), the company said in a BSE filing.

HFL has also entered into a supply agreement on October 26 for supply of pest products to RB which will commence from closing date to be decided by the two parties.

The company said the transfer of the unit from RB to HFL and start of operation by HFL will take approximately two months as HFL is required to complete all legal documentation.

Last December, the company took over a Hindustan Unilever enterprise, Ponds Exports Ltd, engaged in leather business.

HFL MD Sameer Kothari said : "We are confident of achieving a minimum top line of Rs 125 crore from this acquisition."

Hindustan Foods stock closed 0.32 down at Rs 315 on BSE.

 

(This article has not been edited by Zeebiz editorial team and is auto-generated from an agency feed.)