Neogen Chemicals has completed a significant inter-se transfer within its promoter group, with Beena Haridas Kanani transferring 26,38,250 equity shares to Beena Kanani Family Trust on December 31, 2025. The transaction, representing 10.00% of the company's paid-up share capital, was executed as an off-market gift transfer in compliance with SEBI regulations.

Transaction Overview

The share transfer was conducted under SEBI exemption order WTM/KCV/CFD/17/2025-26 dated December 30, 2025, granted under Regulation 11(5) of SAST Regulations. The transaction maintains the aggregate holding of the promoter and promoter group category unchanged.

Shareholding Pattern Changes

The transaction resulted in substantial redistribution within the promoter group while maintaining overall promoter holdings. Beena Kanani Family Trust, previously holding no shares, acquired a significant 10% stake in the company.

Regulatory Compliance and Documentation

The company submitted comprehensive regulatory filings to both BSE and NSE on January 2, 2026, ensuring full compliance with SEBI regulations. The transaction was disclosed under Regulation 30 of SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, and Regulations 29(1) and 29(2) of SEBI (Substantial Acquisition of Shares and Takeovers) Regulations, 2011.

Trust Structure and Management

Beena Kanani Family Trust is managed by Dr. Harin Kanani as the Managing Trustee and will be classified as a promoter shareholder post-acquisition. The trust's registered address is Unit No.115 Vardhman Industrial Complex, Old Agra Road, Thane (W) - 400601.

The transaction demonstrates strategic family succession planning within the promoter group while ensuring continued compliance with all applicable securities regulations and maintaining transparency through proper regulatory disclosures.

Neogen Chemicals Limited , a leading specialty chemicals manufacturer, has reported an 8% year-on-year revenue growth to INR 209.00 crore in Q2, despite facing operational challenges. The company's performance was marked by resilience in the face of a fire incident at its Dahej plant, which led to increased costs and a revised outlook for its battery chemicals business.

Financial Highlights

• Revenue: INR 209.00 crore, up 8% year-on-year
• Gross Profit: Improved by 16%, with a 350 basis points margin expansion
• EBITDA and PAT: Affected by elevated costs related to the Dahej plant fire incident

Operational Resilience

Dr. Harin Kanani, Managing Director of Neogen Chemicals, highlighted the company's operational resilience in Q2. Despite the temporary impact of the Dahej plant outage, Neogen swiftly relocated production to alternate plants and leveraged capacity from key outsource partners. This strategic maneuver ensured the maintenance of volume trajectory, although it incurred additional temporary costs.

Battery Chemicals Business Update

The company has revised its guidance for the battery chemicals business due to delays in Indian gigafactory ramp-ups and customer approvals:

• Revenue Forecast: Revised to INR 30.00-40.00 crore (down from the earlier estimate of INR 300.00 crore)
• Future Revenue Projection: INR 400.00-500.00 crore

Dr. Kanani explained, "We anticipate mechanical completion before the end of this year and then commence trial production followed by commercial production in first half of FY27, which is April to September 2026 and electrolyte salt in H2 of FY27 aligning with the expected rollout of ACC battery capacities in India and growing non-FEOC global demand for the salt."

Strategic Developments

Indo-Japan Joint Venture

Neogen has formed a strategic joint venture with Morita Investments for lithium-ion battery materials, positioning itself as a key player in the non-FEOC (Foreign Entities of Concern) compliant supply chain.

Customer Approvals

A leading Indian gigascale customer has completed the stringent Production Part Approval Process (PPAP) for Neogen's Dahej plant, approving it for long-term commercial electrolyte supply.

International Market Response

The company received positive feedback from the international community for its joint venture, offering a combination of low cost from India with reliability from international technology for electrolyte salt.

Future Outlook

Neogen Chemicals remains committed to its long-term growth strategy, focusing on volume growth, operational efficiency, and transformative projects. The company aims to achieve full utilization of its battery chemicals capacity by FY29, with projected revenues of INR 2,400.00-2,900.00 crore at full utilization.

Dr. Kanani concluded, "Despite global economic headwinds, our commitment to volume growth, enhancing operational efficiency and driving transformative projects reinforces our confidence in achieving a robust long-term trajectory and delivering sustainable value creation."

As Neogen Chemicals navigates through these challenges and opportunities, investors and industry observers will be keenly watching the company's progress in the rapidly evolving specialty chemicals and battery materials markets.