Premji Invest, the investment arm of Azim Premji, has agreed to acquire a controlling stake in Baroda-based Best Value Chem (BVC).
BVC, a specialty aroma chemical manufacturer, said the transaction involves the selling of stake by existing shareholders and a commitment to infuse the primary capital for capacity expansion to meet increasing demand from its global customers.
The company, owned by a group of investors led by Sanjay Patel and his family along with Shaju C.O, as the CEO, counts Firmenich, Symrise, Takasago and global, large FMCG players as its customers.
After the transaction, Shaju will continue to lead the company as the CEO and would also be a minority stakeholder in the company.
Premji Invest, which focuses on investments to help medium-sized Indian companies to grow, has presence across sectors like consumer, financials, technology, and manufacturing.
“Over the last two decades, BVC has not only made products but created a brand with sheer zeal to establish it globally. The shareholders are happy to hand over the responsibility of the company and its business they have built along with Shaju to Premji Invest. Shaju will be able to scale the operations faster and make BVC a global brand,” Sanjay Patel, major investor of BVC, was quoted saying in a press release.
Shaju said India is at the tipping point of growth in manufacturing of specialty chemicals and aroma chemicals in particular due to favourable government policies for Make in India and the creation of chemical parks.
“With Premji Invest backing us, we look forward to expanding our capacity and meeting the increasing demand from our global customers. We intend to move up the value chain and consolidate our position in the Indian Aroma Chemical market,†he added.
