Agro-chemical firm Safex Chemicals has raised Rs 60 crore from private equity firm BanyanTree Growth Capital II LLC, chiefly to expand its production capacity.
Caparo Financial Solutions, the financial services arm of the UK-based Caparo Group, advised Safex Chemicals on the transaction.
"Safex Chemicals has raised Rs 60 crore (USD 9 million) in funding from BanyanTree Growth Capital II LLC, a private equity fund focussed on providing growth capital to SMEs in India," the company said in a statement.
The investment will be used for meeting capital expenditure requirements of the company towards expansion of new capacities, marketing and business development and long-term working capital needs, said Shaila, Director, Caparo Financial.
The Delhi-based Safex Chemicals India is in the business of manufacturing and distribution of agro-chemical formulations and has strong presence in northern India.
The company produces and distributes pesticides and agro-chemicals under its own brand name, Safex.
Its product range includes insecticides, herbicides, fungicides, plant growth promoters/regulators, micro-nutrient fertilisers and organic products with its manufacturing facilities in Bahadurgarh (Haryana) and Udhampur (Jammu & Kashmir).
It has built a network of more than 6,000 dealers across India and has a leadership position in Punjab and Northern UP. The company has grown at a CAGR of more than 40 per cent over the last five years.
BanyanTree has invested in 19 companies. Recently, it has invested in Rotomag Motors and Controls, an electric motor manufacturer, hospitals chain GPT Healthcare, packaged food firm Nilon's, coaching services provider MT Educare and renewable power firm Atria, among others.
