At the current exchange rate, this amount translates to approximately ₹5,765 crore, which is higher than the company’s current market capitalisation of around ₹3,800 crore.
Additionally, Kiri Industries said that an extra $20.29 million may be payable by the purchaser to cover any shortfall in the base consideration or to fulfill the purchaser’s obligations under the SPA.
Under the terms of the agreement, Zhejiang Longsheng Group will acquire 26.23 lakh equity shares, representing 37.57% of DyStar’s paid-up share capital held by Kiri Industries, according to a company statement.
The total consideration may also be subject to further adjustment pursuant to the SPA. The transaction remains subject to customary closing conditions and, where applicable, regulatory approvals, the company filing said.
At present, Kiri Industries shares are trading 6.40% lower at ₹680.05. The stock has climbed 17% in the last one month.
