Bought back Cargill stake in JV for Rs 36 crore: EID Parry

CHENNAI: Murugappa Group's EID Parry India will buyback join venture partner Cargill's 49 percent stake in Silkroad Sugar Private Limited for Rs 36 crore, according to an email sent by the official spokesperson of the company in response to questions by ET. The joint venture was formed for a sugar refinery project in Andhra Pradesh, which has been delayed for over three years due to non-availability of feedstock gas. :

What is the reason for the buy back?

Cargill was wanting to sell their stake and EID therefore picked it up.

What was value of deal for the buyout?

Rs 36 crores

Was the delay in the project a reason for Cargill exit?

We understand that Cargill is exiting assets.

What is the current status of the project? When is it likely to go on stream?

Coal boiler work is on and we should be ready in the next 15 months or so.

Will you be looking for a new partner?

Presently EID has acquired the 49% stake. The focus is on getting the plant back in action.

You were in talks with banks for Rs 200 crore debt restructuring on the project? What is the status?

Debt restructuring was completed sometime back.