It will acquire Hapjan and Budlabeta tea estates with a total production of about 31.33 lakh kg
Dhunseri Tea and Industries Ltd is set to acquire two estates of Apeejay Tea Ltd located in Tinsukia district in Assam for an estimated consideration of Rs. 109 crore. The company has signed an MoU with Apeejay Tea for the acquisition of Hapjan and Budlabeta tea estates with a total production of about 31.33 lakh kg.
Both estates are into manufacturing of black tea — CTC and orthodox grades.
With this acquisition, the company’s production will increase to over 123 lakh kg (12.3 million kg). It targets production of 130 lakh kg (13 mkg) by next year, CK Dhanuka, Chairman, Dhunseri Group, told bu sinessline.
With this, the company would account for nearly one per cent of the country’s total tea production, which is around 1,300 mkg.
Dhunseri Tea has own plantations of around 65 lakh kg and about 35 lakh kg of bought leaf production. The company had recently acquired three tea estates — namely Deohall, Tara and Duamara — from Warren Tea with a total production of about 27 lakh kg for a sum of Rs.90.80 crore.
For the year ended March 31, 2022, the company’s revenues were Rs.210 crore. The current acquisition would not only help enhance the company’s production, but also its turnover and profitability.
Madhuting Tea Pvt Ltd, a sister concern of Dhunseri Group, targets to produce 16 lakh kg of tea in the coming season. This apart, the company has plantations in Malawi in Africa which produces close to 9 million kg of tea.
The Malawi unit also has a capacity of producing four lakh kg of macademia nuts. Dhunseri’s 100-per cent subsidiary in Singapore holds the plantation in Malawi. New plantation for macademia nuts has been done in a big way and 2,000 hectares has been planted during the last seven years, he said.
Dhunseri Poly Films
Dhunseri Poly Films Pvt Ltd, a 100-per cent subsidiary of Dhunseri Ventures, plans setting up a manufacturing facility at Panagarh in West Bengal at an estimated Rs.1,450-crore investment. The first line of the unit will commence production of packing films by March 2023 and the second and third line will come into production by the end of 2025 and 2026 respectively, he said.
Dhunseri Poly Films is also in the process of setting up two BOPP production plants in Panagarh with a targeted annual production of 1 lakh - 1.1 lakh tonnes, the company said in the latest annual report (2021-22).