NEW DELHI: State-run Bharat Petroleum Corporation on Monday said it will acquire a 40 per cent equity stake in Tiki Tar and Shell India for Rs 85 crore in cash, as it seeks to expand its presence in India’s fast-growing value-added bitumen market.

The acquisition, which has received approval from the Department of Investment and Public Asset Management, is expected to be completed within 90 days, Bharat Petroleum Corporation Ltd said in a regulatory filing.

The transaction is not a related-party deal.

Incorporated in October 2019, Tiki Tar and Shell India Pvt Ltd manufactures and markets bitumen and bituminous products used in highways and airport runways.

Its portfolio includes VG Grade Bitumen, Polymer Modified Bitumen (PMB), Crumb Rubber Modified Bitumen (CRMB), and emulsions. The company also exports to Nepal, Bhutan and Bangladesh.

PCL said the investment aligns with its strategy to tap growing demand for bitumen in infra projects.