Reliance Polyester Ltd, a wholly owned subsidiary of Reliance Industries, has completed the acquisition of the polyester business of Shubhalakshmi Polyesters Ltd and Shubhlaxmi Polytex Ltd. Reliance Polyester had, in September 2022, signed definitive agreements to buy Shubhalakshmi Polyesters for Rs 1,522 crore and Shubhlaxmi Polytex for Rs 70 crore, in cash. The Competition Commission of India (CCI) had approved the acquisition in October.
Reliance Industries informed about the acquisition to the investors through an exchange filing. It said, “We wish to inform you that Reliance Polyester Limited (formerly known as Reliance Petroleum Retail Limited), a wholly owned subsidiary of the Company, has on March 8, 2023, after receipt of the necessary approvals, completed the acquisition of polyester business of Shubhalakshmi Polyesters Limited and Shubhlaxmi Polytex Limited.”
Shubhalakshmi Polyesters has two manufacturing facilities, in Dahej (Gujarat) and Silvassa (Dadra and Nagar Haveli) and Shubhlaxmi Polytex has a texturised yarn manufacturing unit at Dahej. The firms specialise in manufacturing and distribution of polyester products. The acquisition is part of Reliance’s strategy to expand its polyester business. Reliance Polyester was formerly called Reliance Petroleum Retail Limited.
Reliance’s acquisition spree
This is, however, not the first buyout by RIL