Advanta India to raise up to Rs 750cr

Date:02-21-2011

NEW DELHI: Advanta India, which is engaged in the seed business, on Friday said that it plans to raise up to Rs 750 crore to fund acquisitions and its research programmes.

In a filing to the Bombay Stock Exchange, the company said that its board of directors has approved "to initiate steps for raising funds not exceeding Rs 750 crore through various instruments".

The company would explore with the merchant bankers and advisors the most expeditious way of raising funds and seek the approval of shareholders through enabling resolution, the filing added.

"We are trying to raise capital to fund our research works. We are investing in research in health sunflower oil, and wheat among others," Advanta Chief Financial Officer Manoj Gupta told PTI.

It is also looking at acquiring companies in areas where it do not have a presence.

"We would like to acquire companies in the geographies and products where we are not present," Gupta added.

Advanta India Ltd is associate firm of United Phosphorus , a leading agrochemical company. Advanta India is the holding company for the global business of Advanta.

The company had posted a net profit of Rs 28 crore over a turnover of Rs 650 crore for the financial year ended December 31, 2009.

Among its various research programmes the company is researching on sunflower oil that does not increase the cholesterol and is also investing on wheat research in Australia.

It has also done major research on seeds of rice, corn, millet, sunflower and mustard in India.