Apcotex Industries today announced that it has acquired 100% of the equity capital of Omnova Solutions India Private (OSIPL) in an all cash deal. This is aligned to Apcotex's long term strategy to tap the full potential of the emulsion polymers industry, through organic & inorganic growth.

OSIPL is the only Producer of Nitrile Rubber in India and only the second producer of high styrene rubber after Apcotex. It has a factory in Valia, Gujarat. The acquired business will add muscle to Apcotex through additional gross revenue of around Rs 2 billion. Apcotex reported gross revenue of Rs 3.91 billion, EBITDA of Rs 470 million and PAT of about Rs 250 million for the financial year ended Mar. 31, 2015.

The acquired business made a marginal surplus on cash basis for the latest accounting year.

Abhiraj Choksey, managing director, Apcotex, said, ''This sizeable bolt-on acquisition bolsters our optimism about the long term value creation potential of Apcotex. We gain access to new product lines, new technologies and new processes with a potential to scale up significantly. We will continue to focus on improving market share in India, improving capacity utilization, reducing high cost structures and optimizing usage of capital. We believe this acquisition will yield a superior value to all our stakeholders.''

Shares of the company gained Rs 10, or 5.08%, to settle at Rs 207.00. The total volume of shares traded was 5,955 at the BSE (Friday).