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. PCLs 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 second quarter of FY 2022-23.
About Cyril Amarchand Mangaldas
Cyril Amarchand Mangaldas (CAM) is India’s leading law firm with a global reputation of being trusted advisers to its clients. The Firm advises a large and diverse set of clients, including domestic and foreign commercial enterprises, financial institutions, private equity and venture capital funds, start-ups, government and regulatory bodies. The Firm’s generalists, specialists and senior ex-regulators expertly guide clients across a spectrum of transactions, sectors and regulations. With over 850 lawyers and 150 Partners, the Firm is the largest full-service law firm in India with offices in key business centres at Mumbai, Delhi-NCR, Bengaluru, Ahmedabad, Hyderabad, Chennai, GIFT City, and also in Singapore.
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.