Tide Water Oil climbs 2% on acquisition of UK-based lubricant company

NEW DELHI: Shares of Tide Water Oil surged 2 per cent on Thursday after the company announced the acquisition of UK-based Price Thomas Holdings ( PTHL) for a cash consideration of 9.59 million British pound (GBP).

The stock surged 5.67 per cent to hit an intraday high of Rs 6,580 on BSE. The scrip eventually closed 2.25 per cent higher at Rs 6,367.

In a filing to BSE, the company said that the acquisition will help it achieve competitive product pricing for the European markets.

“No governmental or regulatory approvals are required for the acquisition as the same falls within the Automatic approval route of the Reserve Bank of India (RBI) policy,” the company said.

The UK-based company had reported gross revenues of GBP 10.92 million and a profit before tax (PBT) of 0.87 million in the calendar year ended 2014.

PTHL, along with a subsidiary is a manufacturer and supplier of lubricants and car care products in UK and few overseas automotive markets including Sweden, Ireland and Bulgaria.