INDIA: Shree Renuka expects Wilmar deal to close by January
Published: 11/14/2017, 11:01:30 AM
Shree Renuka Sugars reported its Q2 numbers with sugar segment dragging the revenues down. In an interview with CNBC-TV18, Narendra Murkumbi, VC and MD, Shree Renuka Sugars spoke about the results and his outlook for the company, according to India's MoneyControl.
We are seeing the aftereffects of the big drought we had in Karnataka and Maharashtra over the last two years. So our volumes from the sugar milling segment were very low and we could not benefit from the high prices of sugar that were prevalent in the last two-three quarters, he said.
Ethanol division also took a big hit, volumes are down almost 70% over last year same quarter. The combined effect of all this has dragged the bottomline despite a better performance in the refining segment, he added.
Debt restructuring process is going well. We signed an investment agreement with Wilmar in July of 2017 and we are hopeful of closing the deal in December or January, said Murkumbi.
Overall our volumes should be up about 30% in terms of crushing compared to the previous season, he said.
We are expecting a fairly normal crop, he further mentioned.