Mumbai: ITC Ltd, India`s largest cigarette maker, is in talks with Century Textile and Industries Ltd to buy its paper division in a bid to diversify revenue to non-tobacco businesses, said two sources directly involved in the deal.
In separate transactions, Century`s textile division will be merged with Aditya Birla Nuvo Ltd and the cement unit will be merged with UltraTech Cement Ltd , as part of the company`s restructuring, the sources said.
The sources declined to be named as the deal talks were not public yet.
Axis Bank is advising Century Textile on the restructuring process, the sources said.
A spokeswoman for Aditya Birla group declined to comment and a spokesman for ITC did not immediately reply to Reuters request for comment. Century Textile`s officials were not immediately reachable. Axis Capital spokeswoman did not immediately offered comments.
