Edited extracts from the Press Release:
VC firm GVFL has acquired a 24.5% stake in return for a Rs. 5 crore investment in chemicals manufacturing firm Sebacic India. The investment was made from GVFL’s Rs. 500 crore SME Technology Venture Fund.
Gujarat-based Sebacic India’s proposed plant in Vadodara will have the an installed capacity of 10000 MTPA of Sebacic Acid, the largest in India. The main product, Sebacic Acid, is a derivative of castor oil and is used as a raw material for Bio degradable plastics, aviation lubricants, wind shield materials, etc.
Though China is the largest producer of Sebacic acid with 90% market share, the global production base is shifting towards India because India has competitive advantage over China due to lower castor oil prices in the country and other taxation-related reasons.
