Riddhi Siddhi Gluco Biols Ltd to acquire Cargill India's Corn Wet Milling division in Davangere

Riddhi Siddhi Gluco Biols Ltd. (RSGBL), a publicly listed company on the Bombay Stock Exchange (BSE), has signed an Asset Purchase Agreement (APA) to acquire the assets of Cargill India Pvt. Ltd.'s (CIPL) Starch & Sweeteners business in Davangere, Karnataka. The deal includes the acquisition of land, manufacturing facilities, warehouses, and corn silos that provide integrated storage infrastructure supporting the corn wet milling operations, subject to the terms and conditions of the APA and obtaining of customary approvals.

Operational since 2016, the 52-acre facility boasts 300,000 MT annual processing capacity, and manufactures maltodextrin, liquid glucose, and co-products like corn germ, corn gluten, and corn fiber.

Commenting on the APA, Mr. Siddharth Chowdhary, Executive Director, RSGBL, said: "We are pleased to have signed the APA to acquire Cargill India's Davangere corn wet milling assets, including land, warehouses, and corn silos. This acquisition aligns perfectly with RSGBL's longterm growth vision, expanding our footprint in food and pharmaceutical segments to better meet unmet customer demand. The facility's strategic Karnataka location bolsters our competitive service to domestic and export markets. Additionally, our intent to operate the facility using renewable energy sources reflects our long-term commitment to clean energy and sustainable manufacturing."

With over three decades in starch and starch derivatives, this move cements RSGBL's leadership in India's starch industry through enhanced footprint and innovation.

Speaking on the transaction, Dheeraj Talreja - Vice President & Managing Director, Food South Asia, Cargill India Pvt Ltd said, "We wish RSGBL success and are confident that this asset will support their growth as they expand their presence in the starch industry".

In India, Cargill has been operating since 1987 and currently has pan-India presence with businesses spanning refined oils, food ingredients, industrial specialties, grain and oilseeds, cotton, animal nutrition, and trade & capital markets.

Shares of RIDDHI SIDDHI GLUCO BIOLS LTD. was last trading in BSE at Rs. 485.05 as compared to the previous close of Rs. 429.00. The total number of shares traded during the day was 2442 in over 117 trades.

The stock hit an intraday high of Rs. 490.00 and intraday low of 440.00. The net turnover during the day was Rs. 1132842.00.

Source : Equity Bulls

Keywords

RIDDHISIDDHIGLUCOBIOLS INE249D01019 AssetPurchase CargillIndia