TFCC will be investing over five to seven years with the first round scheduled to close by January 2022. The transaction size makes it one of the largest deals in the sector. The 55-year-old Ramcharan Group had started out in the chemicals space, but has now ventured into other areas — including logistics, education and restaurants — in addition to clean energy.
Run by fourth-generation family members Divyesh and 47-year-old Kaushikses that recycle hazardous and carcinogenic chemicals and convert the waste into energy. The technology used, both product and process, will convert all types of unsegregated waste into energy, with zero residue, making it very safe, sources said. Both the Palicha brothers did not respond to calls.
The financial details of the company too are unknown and kept under wraps. It is learnt that the family will run the business while the investor will provide financial support and guidance. Without disclosing the current revenues, the investors expect the business to be working on a revenue potential of $40 billion in seven years.
TFCC chairman Chris Curtis said the fund has been in discussions with Ramcharan since December last year and entered into an agreement with the promoters in October. “The funds will be used to set up manufacturing facilities in India involving acquisition of land, construction cost and obtaining regulatory approvals… The initial investment will be used to set up multiple testing units as well,” he added.
Curtis said the fund saw huge potential in Ramcharan’s products in the wasteto-energy field and new generation of energy storage devices to resolve waste management issues globally and the valuation takes into account the profitability of the business and the expected cash flows.
Source: https://timesofindia.indiatimes.com/business/india-business/little-known-chennai-company-gets-8-5-billion-valuation/articleshow/88039764.cms
