Fairchem Organics Seeks Shareholder Approval for ₹3,400 Crore Share Buyback Through Postal Ballot

Fairchem Organics Limited , a chemical manufacturing company, has initiated a postal ballot process to seek shareholder approval for a share buyback program, demonstrating confidence in its financial position and commitment to enhancing shareholder value.

Buyback Details

Fairchem Organics Limited has proposed a buyback of up to 4.25 lakh equity shares, representing 3.26% of the company's existing paid-up equity share capital. The buyback will be executed through a tender offer route at a price of ₹800.00 per share, for an aggregate amount not exceeding ₹3,400.00 crore.

Buyback Details	Value
Number of shares	4,25,000
Price per share	₹800.00
Total buyback amount	₹3,400.00 crore
% of existing paid-up capital	3.26%

Shareholder Approval and Process

The proposed buyback is subject to shareholder approval through a special resolution via postal ballot, including remote e-voting. The e-voting is scheduled from November 26 to December 26.

Key Points

The buyback price of ₹800.00 per share may represent a premium over the current market price.
The buyback size of ₹3,400.00 crore constitutes 16.00% of the aggregate of the company's total paid-up equity share capital and free reserves, based on the latest audited financial statements.

Pre-Buyback Shareholding Pattern

The shareholding pattern of Fairchem Organics Limited was as follows:

Category	Number of Shareholders	Number of Shares	% of Share Capital
Promoter & Promoter Group	4	79,67,823	61.19%
Public Shareholders	29,517	50,53,079	38.81%
Total	29,521	1,30,20,902	100.00%

Conclusion

The share buyback proposal by Fairchem Organics Limited represents a strategic move to optimize its capital structure. Shareholders should carefully consider the offer and its implications before making a decision to participate in the buyback program. The outcome of the postal ballot will determine whether the company proceeds with this financial initiative.

1 Day	5 Days	1 Month	6 Months	1 Year	5 Years
-0.52%	+2.97%	+6.02%	-25.06%	-44.83%	+7.13%

Fairchem Organics Limited, a key player in the Indian chemical industry, has announced that its Board of Directors will convene on November 20, 2025, to discuss a potential share buyback program. This move could significantly impact the company's capital structure and shareholder value.

Key Details of the Announcement

Aspect	Details
Meeting Date	November 20, 2025
Meeting Format	Audio-Visual means
Primary Agenda	Consider proposal for buyback of fully paid-up equity shares
Regulatory Framework	In accordance with SEBI (Buy-Back of Securities) Regulations, 2018

Potential Implications

A share buyback, if approved, could have several implications for Fairchem Organics and its shareholders:

Enhanced Shareholder Value: Buybacks typically aim to increase the value of remaining shares by reducing the total number of outstanding shares.
Capital Structure Optimization: The company may be looking to optimize its capital structure through this potential buyback.
Market Signal: Such a move might be interpreted as a signal of the company's confidence in its financial health and future prospects.

Regulatory Compliance

Fairchem Organics has emphasized its commitment to regulatory compliance throughout this process:

The meeting announcement adheres to Regulation 29(1)(b) of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015.
The company has stated that it will disseminate the outcome of the Board meeting to the Stock Exchanges promptly after its conclusion.

Investor Advisory

Shareholders and potential investors should note that this announcement is not a confirmation of a buyback but rather an indication that the proposal will be discussed. The final decision will be made public following the Board meeting.

Interested parties can find more information on the company's website at www.fairchem.in .