Jindal Poly Films surged 10 per cent to Rs 169 on BSE on Monday, after the commodity chemicals company announced the acquisition of the global biaxially-oriented polypropylene (BOPP) business of ExxonMobil Chemical for $235 million (about Rs 1,265 crore).
“ExxonMobil is the world’s largest company, in terms of revenues, and is involved in oil & gas and chemicals businesses. The transaction is expected to be closed by July,” Jindal Poly Films said in a press release.
The acquisition would result in Jindal Poly Films becoming one of the leading global manufacturers of flexible packaging films, with a combined BOPP film capacity of about 445,000 tonnes a year.
The deal involves the acquisition of five BOPP production units — two in the US (Georgia and Oklahoma) and one each in Belgium, the Netherlands and Italy. It also includes a technology centre and a sales office in New York, along with an office in Luxembourg.
On Monday, the company stock opened at Rs 155 and touched a high of Rs 171 on the National Stock Exchange.
