Cyril Amarchand Mangaldas advised Parry Chemicals Limited (Parry Chemicals), a wholly owned subsidiary of Coromandel International Limited (Coromandel) on its acquisition of 45% equity stake of Baobab Mining and Chemicals Corporation (BMCC) from Baobab Fertilizer Africa (BFA), an existing shareholder of BMCC, for a consideration of INR 225 crores. The Government of Senegal will also hold a 10% equity stake in BMCC. PCL’s acquisition is subject to the completion of the agreed conditions precedent including receipt of approval from the Government of Senegal.
The General Corporate (M&A) Practice of Cyril Amarchand Mangaldas advised Parry Chemicals on the Transaction. The Transaction team was led by Gautam Gandotra, Partner; with support from Arnav Shah, Principal Associate; and Anushka Sharma, Associate.
Other Parties and Advisors to the transaction included Stanhope Capital LLP (acted as Financial Advisors to BFA & BMCC); Popular Legal (acted as International Law firm to BFA & BMCC); and B S R & Co. LLP (acted as tax and regulatory advisors).
As a part of the Transaction, Parry Chemicals has entered into a share sale agreement with BFA; and a shareholder’s agreement with BMCC, BFA and the other shareholders of BMCC. Parry Chemicals has also agreed to extend a shareholder loan to BMCC for capital projects and expansion.
The Transaction was signed on 6th May, 2022. The deal is expected to close in the in the second quarter of FY 2022-23.
About Cyril Amarchand Mangaldas
Recently, the Firm received “National Law Firm of the Year: India” award at the IFLR Asia Pacific 2022 awards ceremony. In 2021, Firm received “India Deal Firm of the Year” at the ALB India Awards and “Firm of the Year” at the IFLR1000 India Awards.
