Asian Paints has entered into a binding term sheet for the setting up of a joint venture in Fujairah, United Arab Emirates (UAE), with Riddhi Siddhi Crusher & Land Transport (Riddhi Siddhi), Fujairah, UAE, Associated Soap Stone Distributing Company (ASD), India and others.
The proposed joint venture would be set up with 60:40 partnership between the Company and the Parties and would carry out the business of manufacturing and exporting white cement and white cement clinker, on such terms as may be mutually decided by the Parties.
The initial capacity of the said manufacturing facility, to be set up in Fujairah, UAE, would be 2,65,000 tons per annum. In addition, clinker grinding units would be set up in India as well.
The overall investment would be approximately Rs 550 crore, to be invested over the next 2 years. The cost of the project would be funded through a combination of equity funding by the Company & the Parties and external debt financing.
Asian Paints is engaged in the business of manufacturing, selling and distribution of paints, coatings, products related to home decor, bath fittings and providing of related services.
The Company’s business segments are Paints and Home Improvement.