Bombay Burmah Trading Corporation, Limited (BBTCL) is one of the few pre-Independence era companies, promoted by the Wadia’s of Bombay Dyeing. The company’s main fray is plantations – tea and coffee.
Its tea its plantations in the hills of South India cover 2,822 hectares and produce about 8 million kgs of tea annually. Its coffee plantation consists of 8 estates in Coorg, Karnataka, totally 927 hectares.
The unconfirmed news is that the company is planning to quit the plantation sector by selling outright all its tea and coffee estates. It has roped in real estate consultancy firm Colliers International for advice on the valuation of the business and potential buyers.
In tea, it plans to sell at Rs.20 lakh an acre. Tata Coffee had shown interest but found the price too high and withdrew from making an offer.
It also plans to put on the block its 500-hectare tea plantations in Tanzania.
BBTCL is in the green following this news, going up over 3% to hit an intraday high at Rs.1353 though volumes are capped under 9k. Its 52-week high is at Rs.1566.80.