*Sanwaria Agro Oils Ltd* plans to raise Rs 150cr over the next 2 months to
expand its soybean crushing and refinery capacity and to buy plantations
overseas

The company will raise Rs 100cr through equity route like QIP, GDR or
private placement and the remaining through debt.

SAOL was incorporated in 1991 and owns solvent extraction and refinery units
at Itarsi, Mandideep, Betul and Harda in Madhya Pradesh. It has a 3,250
metric tonnes per day of crushing capacity and 350 tonnes per day of
installed refinery capacity.

The company sells edible oils under the brand names Sulabh, Narmada and
Sanwaria. It posted a PAT of Rs 34.28cr for 9 months ended 31 December 2009.


It plans to set up a 150 TPD refinery at Mandideep in Madhya Pradesh. It
would also set up crushing units of 50 TPD to produce bakery vanaspati oil,
another 200 TPD unit for soya flour crushing and a 100 TPD unit for soya
bari.

Sanwaria is looking to buy stakes in soybean plantations in Ethiopia, Latin
America and Indonesia. The deal is expected to close by September. In Latin
America the acquisition will be a part of a consortium under the umbrella of
the Solvent Extractors Association

Sanwaria Agro Oils Ltd is also pursuing two to three deals for acquisition
of sick crushing units. The company has earmarked Rs 25cr from its internal
accruals to part fund the acquisitions.

-- 
Regards

Hardik Shah

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