DCM Shriram, the diversified conglomerate with main positions within the chlor-alkali industry, has stated that its Board of Directors has approved the purchase of 100% equity stake in Hindusthan Speciality Chemicals Ltd (HSCL) for Rs. 375 crore.
DCM Shriram plans to pay Rs. 375 crore in a single or more tranches, reason to adjustments in the terms of definitive agreements. The deal is anticipated to be finished via September 2025, subject to regulatory and shareholder approvals.
HSCL, an unlisted subsidiary of Hindusthan Urban Infrastructure Ltd, is located in Bharuch, Gujarat, works in the epoxy and advanced materials segment. The corporation is committed in the production and distribution of solid and liquid epoxy resins, reactive diluents, formulated epoxy resins and curing agents.
HSCL’s manufacturing facility is located at Jhagadia, Bharuch district, just 3.5km from DCM Shriram’s extant chemicals complex providing synergies for integration and development. In FY 2024-25, HSCL mentioned a turnover of over Rs. 274 crore, with a liquid epoxy resin capacity exceeding 17,000 ktpa.
This deal marks the access of the chemicals business of DCM Shriram into the epoxy and advanced materials space, as a downstream integration of epichlorohydrin (ECH), thereby unlocking synergies with its existing chemicals portfolio, DCM Shriram stated in a press note. It brought that the move aligns with its strategic goal to increase into speciality chemicals.
“The advanced materials segment gives robust forward integration with our chlor-alkali platform, at the same time as positioning us at the intersection of India’s increasing presence in sunrise sectors like renewables, mobility, and aerospace,” Mr. Ajay Shriram, Chairman & Senior Managing Director, and Mr. Vikram Shriram, Vice Chairman & Managing Director, said in a joint statement. “We consider HSCL’s tested technology, sturdy customer base, and strategic location will provide a stable foundation to scale this business rapidly. This circulate aligns with our commitment to building a assorted and innovation-driven chemicals portfolio,” they introduced.
This acquisition builds on DCM Shriram’s earlier statement in February 2024, committing Rs. 1,000 crore for the establishment of its Epoxy and Advanced Materials business under the Chemicals Strategic Business Unit (SBU).
