Jindal Poly to buy ExxonMobil's Global BOPP; stock soars 9%

Jindal Poly Films shares rallied nearly nine percent in early trade Monday as the company has struck a deal to acquire Global BOPP films business of US-based ExxonMobil Chemical for USD 235 million.

Flexible packaging films producer says the deal is likely to be closed by July, 2013.

"The transaction covers five BOPP production locations in the US and Europe. Approximately 1500 people work in those operations," according to a release sent to exchanges.

With this acquisition, the combined capacity of the company is approximately 4.45 lakh tonnes per annum for BOPP films.
 
At 09:44 hours IST, the stock gained 8.82 percent to Rs 167.15 amid hefty volumes on Bombay Stock Exchange. Market capitalisation of the company currently stands at Rs 702.83 crore.