India's Himadri Chemicals defers German firm acquisition plans

India-based Himadri Chemicals and Industries has shelved its plans to acquire Rutgers, a German company.

This is the second attempt by Himadri to acquire Rutgers, according to Himadri.

Anurag Choudhary, Himadri Chemicals CEO, was quoted by The Hindu as saying that: "This time, too, we found that the valuation was too high, especially in view of the uncertainties in Europe."

The appraisal was put around $600m, according to Himadri. The company recently completed the due diligence exercise.

Rutgers Chemicals and US-based Koppers are major CTP players. Himadri is also planning a new unit in Uttarakhand, India, and a $60m investment in China.

Anurag Choudhary further said these projects were better bets. Himadri processes coal tar pitch (CTP), which is used by aluminium and the graphite industry.