ASI Industries to sell engineered stone business to Marudhar Rocks
ASI Industries Limited, an Indian stone mining and quarrying company, is set to sell its engineered stone business to Marudhar Rocks International for INR 84.5 crores.
In this regard, the parties have signed a memorandum of understanding (MoU) for defining the main terms agreed, which will be used as the basis of a definitive agreement.
The deal has been approved by ASI Industries’ board of directors.
Subject to shareholders’ and lenders’ approvals and other statutory and contractual approvals, the deal is expected to close by March 2022.
ASI Industries to sell its engineered stone business to Marudhar Rocks. Photo courtesy of Kurt Bouda from Pixabay.
As per the MoU, Marudhar Rocks International will also take care of the debt of ASI Industries’ engineered stone business. The Tamil Nadu-based granite supplier will also take in all the employees of the business.
ASI Industries said that it will continue with its business of Kotah and other natural stone businesses.
Deepak Jatia — CMD of ASI Industries said: “The transaction was a bittersweet one for ASI as a Company. While we were fully focused on developing the Engineered Stone Division as the next segment of growth, the conclusive benefits from the transaction were reason enough to enter into an agreement with Marudhar Rocks.
“The transaction helps us pare down our debts and become a zero-debt company in the near future. Going forward, we are committed to building on our Kotah stone business, and should there be an opportunity to move into some adjacencies, we will keep the investors informed.”