Coromandel International to acquire 53% stake in NACL Industries
Coromandel International Limited announced that it will acquire the majority stake in NACL Industries Limited (NACL). NACL Industries is an established agrochemical company focused on crop protection, with a strong foothold in South India. Coromandel will be acquiring 53% shareholding in NACL Industries for Rs 820 crores, with the shares priced at Rs 76.7 per share, from the current promoter, KLR Products Limited
Market Reaction
Shares of NACL Industries (NSE: NACLIND) rose more than 16% on March 13th (intraday), while Coromandel (NSE: COROMANDEL) rose close to 2%.
Management Comment
Coromandel’s Managing Director and Chief Executive Officer, Mr Sankarasubramanian added, “This acquisition will strengthen Coromandel’s presence in Crop protection business both in domestic and export markets. Coromandel will leverage its management expertise, credit access, sourcing capabilities, and diversified presence in international markets to strengthen NACL’s operations in a short period and create value for the shareholders. With the combined synergies in R&D and manufacturing, we can accelerate our Go to market strategy for new products and intermediates, thereby increasing our product offerings in domestic and global markets.”
Earning Performance
Coromandel International Limited reported very strong financial performance for the quarter ended December 31, 2024.
- Total Revenue Increased by 28% to ₹7,049 QoQ
- Net profit more than doubled, rising by 123% to ₹508 crore from ₹228 crore year-on-year.
