Jay Shree Tea & Industries Ltd.

The company has entered into an agreement with Assam Tea Corporation Limited for purchase of green leaf of Longai & Ishabheel Tea Estates and to operate its Longai Tea Factory having a capacity to manufacture around 10 lacs kg of tea per annum w.e.f. the season commencing March, 2010. The company has also entered into a Memorandum of Understanding to acquire shares of a company having a tea factory near Makum, Tinsukia, Assam with annual production capacity of around 11 lacs kg. per annum. This should help the company to increase its production by around 2 million kgs. from the year 2010 – 11.

SUGAR

The company has acquired 100% stake in M.P.Chini Industries Ltd. having a sugar factory at Majhaulia in Bihar with a capacity of 4600 TCD, which is being enhanced to 5500 TCD. The factory has co-generation facility of 6 MW and its own sugarcane plantation of around 1000 acres. This is one of the best maintained factories in the State of Bihar and will enable the company to leverage its experience and expertise in managing agro based industries and harnessing the same for growth of all its stakeholders.

OVERSEAS ACQUISITIONS FOR TEA

The company has entered into a joint venture agreement with Rwanda Mountain Tea SARL,Rwanda in East Africa and has formed "Tea Group Investment company Ltd."(TGIC) at Dubai through its offshore investment arm "Birla Holdings Ltd." at Dubai to acquire 60% stake in Mata Tea Co. Ltd., and Gisakura Tea Co. Ltd.,Rwanda, East Africa which was owned by OCIR-THE, the Government of Rwanda.The said companies owns two tea estates namely 'MAta' and 'Gisakura' in Rwand, the best quality tea producing belt in East Africa producing 4.1 mn. kgs. of tea per annum.The Government of Rwanda has recently issued the notification for allotment of the said two tea companies to TGIC and the process for acquisition shall be over within a month's time. The company has also entered into a marketing tie-up with Rwanda Mountain Tea SARL, Rwanda for the sale and marketing of around 6mn.kgs. of tea from its existing tea estates whereby it shall utilize its international marketing network to drive better value for Rwandan teas. Both these acquisition and tie-up shall be in long term interest of the company. The company through its investment ,Birla Holdings Ltd.,Dubai has entered into a share purchase agreement with the owners of Kijura Tea Co. Ltd.and Bondo Tea Co. Ltd., to acquire 100% stake in the said companies having tea estates producing around 1.2 mn.kgs.of tea per annum ar Uganda in East Africa. The total investment for the aforesaid acquisitions in Rwanda Nad Uganda is to the tune of US$ 6.5 million (equivalent to Rs.29.25 crore only)for control of around 11.3mn.kgs.in East Africa.