Aditya Birla buys Kanoria unit for Rs 830 cr

Kolkata-based Kanoria Chemicals, a leader in chemical intermediates, has sold its chlor alkali business to Aditya Birla Group for Rs 830 crore in an all-cash deal.

Kanoria will use the funds to expand its existing business and explore new related businesses.The division, located at Renukoot in Uttar Pradesh, clocked revenues of Rs 303 crore and profit before tax of Rs 47 crore in 2009-10.

The transaction was approved by Kanoria’s board of directors in New Delhi on thursday. The business transfer agreement, too, was executed by the two parties on thursday. The transaction will be done by way of a slump sale and is expected to be complete by the end of june this year.