Manali Petrochemicals to sell UK subsidiary Notedome Ltd to Italian firm

New Delhi, Oct 16 (PTI) Manali Petrochemicals Limited on Thursday announced divestment of its step-down UK subsidiary, Notedome Ltd, to Italian chemical specialities firm Chimica Organica Industriale Milanese (COIM).

In a stock exchange filing, the firm said the consideration received from the sale would be "at least 8.5 times the adjusted EBITDA of 2.12 million pounds, as determined jointly by both parties".

It gave no further details.

"The sale will be on a cash-free and debt-free basis with customary adjustments along other agreed factors," it said.

Notedome accounts for over 10 per cent of the Rs 9.21 crore condolidated revenue of Manali Petrochemicals Ltd (MPL) in 2024-25 and 5.57 per cent of its Rs 10.95 crore networth.

The board of the firm in its meeting on Thursday "approved AMCHEM, SG's (an overseas wholly owned material subsidiary) proposal to sell its entire stake in Notedome Ltd, UK (a wholly owned material step-down subsidiary of MPL), to a third party viz., COIM S.p.A., subject to shareholder approval," the firm said.

Seller and buyer will enter into a binding agreement/Share Purchase Agreement (SPA) in due course, it said, adding the buyer will acquire the business for at least 8.5 times the adjusted EBITDA of 2.12 million pounds.

"On successful completion of the transaction, Notedome Limited, UK along with its subsidiary will cease to be a wholly owned subsidiary of AMCHEM SG and a wholly owned step-down subsidiary of MPL, it said.

Chennai-based MPL is a chemical company with manufacturing facilities in Manali, Chennai. PTI ANZ MR