United Phosphorus Limited (UPL) acquired 100% stakes in Yanhua Yoloo (Laoting) Biotechnology Co., Ltd. (Laoting Yanhua) through its Hong Kong branch in early May. Laoting Yanhua is one of the major formulation producers in China engaged in plant growth regulator, insecticide, herbicide and fungicide, with its pesticide formulation capacity of 28,000 t/a. The acquisition reveals UPL’s intention to enter China’s terminal market of pesticide, and plays a key role in its development in China.
UPL attaches importance to Chinese market owing to China’s being the world’s largest grain producer
Previously in February last year UPL already announced to complete its acquisition of Arysta at the cost of USD 4.2 billion, which makes the company one of the world’s top five in the field of agricultural solutions.
With about 1200 distributors and over 240 staff, Laoting owns more than 100 registration certificates of agricultural chemical products in China. Apart from that, the company has a long term relationship with multinational corporations and established a huge group of customers. As the largest grain producer all over the world, China is considered as a crucial market for UPL.
UPL expects more opportunities and better improvement after the acquisition of Laoting
Because China serves as the world’s biggest grain production base, UPL attaches great significance to the Chinese market. Based on its good partnership with plenty of transnational corporations and its establishment of huge distribution channels, Laoting will gain powerful support from the Chinese team in UPL, such as a wide product line, abundant financial resources, global layout, technique to improve sustainable development and anti-risk ability, as well as UPL’s manufacturing technology and its leading position in the market. In contrast, UPL will also have access to Laoting’s distribution channels and registration certificates in China.
What’s more, UPL plans to optimize Laoting’s manufacturing facilities in order to expand the company’s global capacity, and it will be devoted to improving the partnerships between Laoting and its clients.
UPL products are distributed in more than 150 countries
UPL is an Indian transnational corporation founded in 1969, with the Headquarter located in Bombay. As one of the top five corporations in the area of agricultural solutions in the world, UPL provides agricultural productivity for farmers through innovative and cost effective products. Its goal is to assure the world of long term food supply.
UPL mainly engages itself in producing and selling agricultural chemicals, industrial chemicals, as well as chemical intermediates and speciality chemicals. So far, UPL has become one of the world’s largest companies supplying general agricultural chemicals. Its products are distributed in more than 150 countries and regions all over the world.
Laoting has more than 50 product lines, through 200 individual products can be manufactured
Laoting is a core subsidiary of Yanhua Yoloo. It was not until 2017 that the company was established and went into production.
The high-tech company concentrates on environmentally friendly pesticide compound preparations, including insecticides, germicides, herbicides, seed coatings, and plant nutrition. As a fully reinforced Chinese agrochemical company, Laoting has over 1200 distribution partners and more than 240 employees.
Laoting has more than 50 product lines, through which over 10 preparations and 200 individual products can be manufactured. In the meanwhile, the company is equipped with a modern lab of more than 3,000 square meters and a professional technology R&D team of over 50 people as well as a production management team with a decade of experience.
For more information on China’s agricultural market, please check our Agriculture China Market News.