Deepak Nitrite 's wholly owned subsidiary, Deepak Chem Tech Limited (DCTL), has successfully raised ₹34.00 crores through the issuance of preference shares to its sister company, Deepak Phenolics Limited (DPL). This strategic move aims to bolster DCTL's capital base and support its ongoing projects and operational expenses.

Key Details of the Transaction

• Issue Size: 34,00,000 9% Optionally Convertible Redeemable Preference Shares (OCRPS)
• Face Value: ₹100.00 per share
• Total Amount Raised: ₹34.00 crores
• Allotment Date: September 4, 2025
• Recipient: Deepak Phenolics Limited (DPL), another wholly owned subsidiary of Deepak Nitrite

Purpose and Impact

The capital infusion is intended to strengthen DCTL's financial position, enabling it to fund project expenses and meet general corporate purposes. This move underscores Deepak Nitrite's commitment to supporting its subsidiaries' growth and operational needs.

About Deepak Chem Tech Limited

DCTL, incorporated on October 9, 2020, operates a state-of-the-art fluorination plant and is actively pursuing various projects across Gujarat. The company has shown significant growth in its turnover:

Transaction Details

• The preference shares were issued at par value on an arms-length basis.
• Prior to this allotment, DCTL's paid-up capital stood at ₹1580.50 crores, comprising ₹499.50 crores in equity shares and ₹1081.00 crores in preference shares.
• Post-allotment, Deepak Nitrite continues to hold 100% of DCTL's equity share capital, while indirectly holding 100% of its preference share capital along with DPL.

Regulatory Compliance

The transaction adheres to the requirements of Regulation 30 of SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015. No governmental or regulatory approvals were required for this investment.

This capital infusion reflects Deepak Nitrite's strategic approach to strengthening its subsidiary operations and supporting their growth initiatives in the chemical industry sector.

Deepak Nitrite 's wholly-owned subsidiary, Deepak Chem Tech Limited (DCTL), has made a significant move to strengthen its capital base. The company has issued and allotted ₹68 crore worth of 9% Optionally Convertible Redeemable Preference Shares (OCRPS) to Deepak Phenolics Limited (DPL), another wholly-owned subsidiary of Deepak Nitrite.

Key Details of the Allocation

• Number of Shares: 68,00,000 OCRPS
• Face Value: ₹100 per share
• Total Value: ₹68.00 crore
• Allotment Date: August 18, 2025

Purpose and Impact

The primary objective of this capital infusion is to bolster DCTL's financial position and support its ongoing projects and general corporate purposes. This strategic move is expected to prepare the company for growth in the specialty chemicals sector.

About Deepak Chem Tech Limited

DCTL, incorporated on October 9, 2020, is a relatively new player in the chemical industry. The company operates a state-of-the-art fluorination plant and is actively pursuing various projects across different sites in Gujarat.

Financial Performance

DCTL's financial performance has shown significant growth over the past two years:

Transaction Details

The allotment of OCRPS to Deepak Phenolics Limited is considered a related party transaction, as both DCTL and DPL are wholly-owned subsidiaries of Deepak Nitrite. However, the company has stated that the transaction is conducted on an "arm's length" basis, with shares allotted at par value.

Shareholding Structure

Post this allotment, Deepak Nitrite continues to hold 100% of the equity share capital of DCTL. Additionally, Deepak Nitrite, along with DPL, indirectly holds 100% of the preference share capital of DCTL.

This strategic financial move underscores Deepak Nitrite's commitment to strengthening its subsidiaries and positioning them for future growth in the competitive specialty chemicals market.