Grasim ups stake in Canadian JV to 45%

Grasim Industries, the Aditya Birla group flagship company, has increased its stake in AV Cell, a joint venture company in Canada, from 25% to 45%. The total consideration of the development is pegged around Rs 24 crore. Thus, Aditya Birla Group's total stake in AV Cell has increased from 75% to 95%.

AV Cell Inc is a 50:50 joint venture between the Aditya Birla Group and Tembec, Canada, a $2.5 billion Canadian integrated forest products company. This venture supplies softwood and hardwood pulp,  a critical input for the group's Viscose Staple Fibre (VSF) business.

The mill, whose entire production is exclusively for the group's captive consumption, supplies 1,25,000 tonnes of dissolving grade chemical pulp to its VSF units in India, Thailand, Indonesia and China.