Williamson Tea chairman B. M. Khaitan (left) and director Aditya Khaitan in Calcutta on Wednesday. Picture by Kishor Roy Chowdhury

Calcutta, July 13: The BM Khaitan group-controlled McLeod Russel India today sealed the acquisition of Williamson Tea Assam for Rs 168.66 crore from the London-based Magors.

The financial closure was completed today when McLeod Russel vice-chairman Deepak Khaitan inked the final deal with Philip Magor in London.

According to the deal, McLeod Russel acquired a 100 per cent stake in the UK-based Borelli Tea Holdings, which holds 70 per cent share in Williamson Tea Assam.

The new board of Williamson Tea Assam was also formed today. It has nine members with B.M. Khaitan at the helm of affairs as the chairman of the company and Deepak Khaitan, the vice-chairman. The other directors on the board are Aditya Khaitan, Philip Magor, J. Hazarika, K.S. Brar, P.K. Majumdar, Padam Khaitan and K.K. Baheti.

Addressing a press conference here today, B.M. Khaitan said, ?The synergy will help the company save Rs 15-20 crore annually.?

The Khaitans had appointed Ernst & Young to estimate the benefits that may arise from the acquisition.

The senior Khaitan also said this deal is one of the fastest in India as it has been consummated within 41 days.

?The acquisition has sent good signals to the tea market. The tea circles have shown extreme enthusiasm following the deal,? he said.

?We have also communicated to the Assam government about the deal,? said Aditya Khaitan.