UPL to acquire Yoloo Biotech in all-cash deal for $13.3 million

Maharashtra: Agrochemicals manufacturer UPL said on Friday it has entered into definitive agreements to acquire 100 percent shares of Yoloo Laoting Biotechnology, an agrochemical company based in Heibei province of China, from Beijing Yoloo Bio-Technology Corporation.

The cost of acquisition is 13.3 million dollars (about Rs 95 crore). In the new company, UPL will own 75 percent stake and while the remaining 25 percent will be held by Beijing Yoloo.

Laoting Yoloo is engaged in the business of manufacturing, distribution, and commercialization of crop protection products in China. UPL will build on the relationships that Laoting Yoloo has cultivated by serving its existing customers with a wider portfolio of UPL products.

With this acquisition, UPL will also have a formulation facility in China, which is one of the major crop protection chemical markets. With this acquisition, UPL will strengthen its access in China market.

The acquisition will require regulatory approval from the Foreign Investment Commission at Laoting country and Tangshan city level, registration with the Market Supervision and Administration Bureau at Laoting country level and filing with the State Administration of Foreign Exchange at Laoting County Level.

UPL, earlier known as United Phosphorus Ltd, is an Indian multinational company that manufactures and markets agrochemicals, industrial chemicals, chemical intermediates and specialty chemicals besides offering crop protection solutions.