Aditya Birla Nuvo, on Monday, said it would sell its carbon black business to group firm SKI Carbon Black (India) for Rs.1,451 crore.
The move, aimed at reducing debt, follows a decision of the company’s Committee of Directors, which felt that it would be “extremely challenging” for Nuvo to become a global leader as multinational tyre makers prefer tie-ups with firms which had global spread.
Nuvo has three plants for making carbon black, used in tyre making and is among the country’s top three firms in the business. The sale is subject shareholders and other approvals, it said, adding that the valuation was done by Deloitte Touche Tohmatsu India.
