Sugar major Bajaj Hindusthan Sugar Ltd (BHSL) on Thursday said it has acquired two companies — Phenil Sugars Ltd (PSL) and Bajaj Power Ventures Private Ltd (BPVPL) — worth Rs 800 crore.

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The company acquired a 98.01 percent stake in Phenil Sugars Ltd (PSL) for Rs 350 crore and a 5.04 percent stake in Bajaj Power Ventures Private Ltd (BPVPL) for Rs 445.54 crore.

On PSL, the company said the acquisition has been done as there is a substantial appreciation in the value of assets (mainly land) of PSL's both plants at Basti and Govindnagar, BHSL said in a regulatory filing.

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"Accordingly, it is recommended to take control over PSL to realise the investments made by BHSL in PSL. After taking control of PSL, BHSL may take necessary steps to realize the amount by selling the assets of PSL in an appropriate manner and/or putting the assets to appropriate usage," the company said.

Incorporated in 2003, Phenil Sugar mainly owns and operates sugar plants. In October 2004, Phenil acquired two sugar companies, Govind Nagar Sugar (GNSL) and Basti Sugar Mills (BSML) from the Narang Group. Both GNSL and BSML have been amalgamated with Phenil with effect from April 1, 2010.

The acquisition will be completed on or before March 31, 2023, it said.

On BPVPL, the company said, “Acquired 4,05,04,000 equity shares of Rs 10/- each of BPVPL, at a price of Rs. 110/ per share amounting to Rs. 445.54 crores, in a swap of Zero coupon Optionally convertible debentures (ZOCD) of Rs 445.54 crore from Lambodar Stocks Private Ltd held by BHSL".

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BPVPL established in May 2010, is engaged in the business of developing power projects through its subsidiaries. It is the holding company of two of its operating companies including Lalitpur Power Generation Company Ltd and Bajaj Energy Ltd.

(Edited by : Pradeep John)