BASF India: Parent to be acquired by Stahl group

BASF SE, Germany is the parent company of BASF India. BASF India announced on Thursday that its parent company has come to an agreement with Stahl to divest its leather and chemical business to Stahl Group. The Stahl Group is a leading corporate entity in process chemicals for leather products and performance coatings. The Stahl Group in future would be held by Wendel Group, Clariant and BASF. This transaction is expected to close in the 4th quarter of 2017.

By this,  BASF will receive 16 per cent equity of Stahl. The transaction comprises BASF’s global leather chemicals business, as well as the leather chemicals production site in L’Hospitalet, Spain. Under the arrangement, BASF India would supply leather chemical products from its manufacturing facilities to Stahl Group under a mid to long-term supply agreement.

BASF India, a manufacturer of chemicals and BASF SE Germany and its group companies holds 73.3% stake in it. BASF India is mainly engaged in providing chemicals, plastics, performance products and crop protection products.

BASF India has reported net loss of Rs.47.22 cr in Q3 December 2016 compared to net loss of Rs.119 cr in Q3 December 2015.