Lords Chloro Alkali Limited has announced a substantial acquisition of shares by its promoter group through warrant conversion, as disclosed under SEBI (Substantial Acquisition of Shares and Takeovers) Regulations, 2011. The transaction involved promoter Madhav Dhir and persons acting in concert (PAC) acquiring 27,00,000 shares on February 23, 2026.

Acquisition Details

The acquisition was executed through conversion of warrants into equity shares, with the promoter group members acquiring shares in varying quantities:

Holdings Before and After Acquisition

Prior to this acquisition, the promoter group held 1,87,80,556 shares representing 74.66% of the company's voting capital. The pre-acquisition individual holdings were led by Madhav Dhir with 86,93,442 shares (34.56%), followed by Dhir Hotels and Resorts Private Limited with 49,64,391 shares (19.74%).

Post-acquisition, the collective holding increased to 2,14,80,556 shares, representing 74.97% of the expanded share capital:

Impact on Share Capital

The warrant conversion resulted in expansion of the company's equity share capital from 2,51,53,861 shares to 2,86,53,861 shares. This represents an increase of 35,00,000 shares in the total voting capital, though the actual acquisition by the promoter group was 27,00,000 shares.

Regulatory Compliance

The disclosure was made in compliance with Regulation 29(2) of SEBI (Substantial Acquisition of Shares and Takeovers) Regulations, 2011. Lords Chloro Alkali Limited's shares are listed on both BSE and NSE exchanges. The transaction was signed off by Madhav Dhir on behalf of the acquirer and PAC from New Delhi on February 23, 2026.

Lords Chloro Alkali Limited announced its unaudited financial results for the third quarter ended December 31, 2025, alongside significant corporate developments including warrant conversion and management re-appointments. The Board meeting held on February 9, 2026, approved multiple strategic decisions that strengthen the company's capital structure and operational framework. The company also released its investor presentation highlighting its transformation into a green chemical company powered by renewables.

Financial Performance Q3FY26

The company delivered solid financial performance during the quarter, with revenue from operations reaching ₹9,395.22 lakhs compared to ₹6,478.17 lakhs in Q3FY24, representing substantial year-over-year growth. Net profit for the quarter stood at ₹460.91 lakhs, significantly higher than ₹126.64 lakhs in the corresponding quarter of the previous year.

Nine-Month Performance

For the nine months ended December 31, 2025, Lords Chloro Alkali demonstrated strong operational momentum. Revenue from operations reached ₹29,249.36 lakhs compared to ₹19,044.46 lakhs in the corresponding nine-month period of FY24. Net profit for the nine-month period stood at ₹2,409.72 lakhs, substantially higher than ₹357.76 lakhs in the previous year.

Major Warrant Conversion

The Board approved the allotment of 35,00,000 equity shares through conversion of an equal number of warrants at an issue price of ₹122 per share, including a face value of ₹10 and premium of ₹112. This conversion raised ₹42,70,00,000 for the company from both promoter and non-promoter categories.

Following the conversion, the company's paid-up equity share capital increased from 2,51,53,861 equity shares to 2,86,53,861 equity shares. The promoter and promoter group shareholding increased from 18,780,556 shares (74.66%) to 21,480,556 shares (74.97%).

Green Chemical Company Transformation

According to the investor presentation, Lords Chloro Alkali is transforming into a green chemical company powered by renewables. The company has commissioned a 16 MW solar plant in Bikaner and entered into a Power Supply Agreement with CGE II Hybrid Energy Private Limited for a 10MW Wind Solar Hybrid Project. Additionally, a new 21 MW solar project is proposed to bring further cost savings by March 2026.

Strategic Capex Journey

The company has outlined a comprehensive capex plan totaling ₹355 crore across FY24-FY28. Completed projects worth ₹150 crore include the solar power plant, caustic soda capacity expansion from 210 TPD to 300 TPD, and Chlorinated Paraffin Wax capacity increase from 20 TPD to 50 TPD. Current ongoing projects worth ₹40 crore focus on CPW expansion and the hybrid renewable power project.

Corporate Governance Developments

The Board approved several key governance and operational decisions. Mr. Ajay Virmani's re-appointment as Managing Director for a further term of five years from July 12, 2026, to July 11, 2031, was approved subject to member approval in the upcoming EGM. The Board also approved remuneration structures for key management personnel and increased limits for managerial remuneration.

Additionally, the Board granted approval to initiate the Employee Stock Option Plan (ESOP) process, demonstrating the company's commitment to employee participation in growth. An Extraordinary General Meeting has been scheduled for March 18, 2026, to seek member approvals for these proposals.

Operational Highlights

The company operates in the chloro alkali sector with current capacity of 1,05,000 TPA caustic soda and 18,250 TPA of Chlorinated Paraffin Wax. Power and fuel constitute approximately 51% of production costs, making renewable energy integration crucial for cost optimization. Major expense categories included power and fuel charges of ₹4,365.12 lakhs for Q3FY26, raw material costs of ₹2,637.49 lakhs, and employee benefits expenses of ₹627.85 lakhs.