Camlin Fine Sciences’ (CFS) board has considered and approved the raising of funds of upto Rs 1,800 million ($23.8 million) from Infinity Holdings and its affiliated entities, with Convergent Finance LLP (Convergent) acting as an investment advisor. Structured as a subscription to equity warrants priced based on the prevailing market price and in accordance with applicable SEBI regulations, the investment will result in an approximately 22.65% ownership stake on a fully diluted basis.
The purpose of fund raise would be to consolidate and acquire the entire stake of its joint venture partners in the company's subsidiaries in Mexico and China, i.e. Dresen Quimica S.A.P.l. de C.V and CFS Wanglong Flavours Ningbo Co., as well as to enhance the company's portfolio in Heath & Wellness segment by launching new products.
Camlin Fine Sciences is the world's second largest manufacturer and marketer of food grade antioxidants BHA (butylated hydroxyanisole) and TBHQ (Tertiary Butylhydroquinone).
