The company's purchases are a part of its plan to grow its polyester downstream sector.
Digital Desk: Reliance Petroleum Retail (under name change to ‘Reliance Polyester’), a wholly-owned subsidiary of Reliance Industries, on Saturday bought the polyester business of Shubhalakshmi Polyesters (SPL) and Shubhlaxmi Polytex (SPTex) for Rs 1,522 crore and Rs 70 crore, respectively, in cash.
The Competition Commission of India (CCI) and the respective lenders for SPL and SPTex must approve the purchases.
SPL produces polyester fibre, yarns, and textile grade chips through direct polymerization as well as extruder spinning with value addition through texturizing. It has a continuous polymerization capacity of about 2,52,000 MT/annum. It has two production plants, one each in Silvassa and Dahej (Gujarat) (Dadra and Nagar Haveli). In Dahej, SPTex has a plant for the production of texturized yarn.
The company's purchases are a part of its plan to grow its polyester downstream sector.
RIL recently withdrewbacked out from the competition to buy JBF Industries' petrochemicals division, which is going through bankruptcy proceedings. RIL didn't offer any explanations for its departure
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