UPL completes the acquisition of Arysta LifeScience
UPL has completed its acquisition of Platform Specialty Products’ agrochemical business, Arysta LifeScience.
UPL has completed its acquisition of Platform Specialty Products’ agrochemical business, Arysta LifeScience. The deal was agreed for $4.2 billion in July 2018. The final approval for the transaction came from the European Commission and was granted earlier this week. UPL set out its leadership appointments for the consolidated organisation in December.
The “new UPL” becomes one of the top five agricultural solutions companies globally, with approximately $5 billion in combined total sales, and earnings before interest, tax, depreciation and amortisation (EBITDA) of around $1 billion, the company says. UPL recorded agrochemical sales of Rs 150,060 ($2,107 million at the current rate) in its fiscal year ended March 31st 2018. Arysta registered revenues of $1,897 million in 2017.
The acquisition will help UPL establish a more uniform geographical spread and a more substantial presence in Europe, the Middle East and Africa (EMEA). In 2017, EMEA was Arysta’s largest sales region, accounting for 38% of business. European revenues made up 13.3% of UPL’s sales. Arysta has often claimed to be the market leader in Africa. “With a diverse portfolio and enhanced global reach, we believe that new UPL will be among the most innovative, exciting and admired companies in our industry,” says global CEO Jai Shroff.
In pursuit of its long-term vision to be a world leader in the global food network, UPL has launched its new purpose, called “OpenAg”. Mr Shroff notes: “Through our purpose of OpenAg, we aim to transform agriculture by creating an open agriculture network that feeds sustainable growth for all.”. He points out that the combined biosolutions pipeline would help the company make a mark in sustainable agriculture as “part of integrated pest and nutrition management programmes”. Arysta was one of the earliest entrants into the biologicals area.UPL is making the acquisition through its international arm, UPL Corporation.