Rallis India, the agrochemicals arm of the Tatas, has utilised the entire proceeds of Rs 182 crore from the sale of its non-core assets to reduce debt.

Rajeev Dubey, managing director, said, "The sale proceeds and operating surplus has been used to retire high-cost debt."

The company earned around Rs 49 crore by selling its pharmaceuticals business, and another Rs 133 crore from the sale of real estate in suburban Mumbai.

Apart from repaying high-cost loans, the amount was also used to 
write-off some investments which had since become bad. The company had earlier said that a part of the proceeds could be used to venture into newer areas. It is yet to firm up its plans for diversifying into biotechnology with a focus on hybrid seeds.

"We constantly review our strategy and the foray into biotechnology (seeds) as well new growth regions are still under consideration. We are yet to firm up our strategy on these," Dubey said.

Rallis has transferred its pharmaceutical business undertaking to Shreya Life Sciences for Rs 49 crore and sold its real estate at Mumbai to Orchid Print India, a wholly owned subsidiary of Tata Sons for Rs 133 crore. The property is utilised by Tata Consultancy Services for a software park. The company has been undertaking several initiatives to achieve a turnaround.

With a view to focus on the marketing activity of agrochemicals division, it has restructured the marketing and sales set-up.

Since the critical success factors for bulk fertilisers are different from those of pesticides, speciality fertilisers and seeds, a separate bulk fertilisers division has been created.

It has closed the manufacturing units at Cuddalore (fine chemicals), Ankleshwar and the Howrah Formulation unit.