Neogen Chemicals Limited has informed stock exchanges about an upcoming board meeting scheduled for March 7, 2026, to consider a significant corporate action involving fund raising through equity shares.

Board Meeting Details

The company's Board of Directors will convene on Saturday, March 7, 2026, to evaluate and approve a proposal for raising funds through a preferential issue of equity shares. The meeting agenda includes comprehensive deliberation on the fund raising mechanism and associated terms.

Fund Raising Proposal Structure

The proposed fund raising will be executed through a preferential issue of equity shares, with the board having discretion over the final structure and terms. The pricing mechanism will follow SEBI regulations, specifically Chapter V of the Securities and Exchange Board of India (Issue of Capital and Disclosure Requirement) Regulations, 2018.

Key aspects of the proposal include:

• Issuance in one or more tranches as deemed appropriate
• Pricing determination pursuant to SEBI ICDR Regulations
• Compliance with Companies Act, 2013 provisions
• Board committee discretion on terms and conditions

Regulatory Compliance and Approvals

The fund raising initiative requires multiple layers of approval to proceed. The company has outlined a comprehensive approval framework that ensures regulatory compliance at every stage.

Trading Window Restrictions

In compliance with insider trading regulations, Neogen Chemicals has implemented immediate trading restrictions. The trading window for company shares will remain closed for all designated persons and their immediate relatives, connected persons, and legitimate insiders.

The restriction period extends from immediate effect until 48 hours after the conclusion of the March 7, 2026 board meeting. This measure ensures compliance with SEBI (Prohibition of Insider Trading) Regulations, 2015, and the company's internal Code of Conduct for trading oversight.

Communication and Disclosure

The company has fulfilled its disclosure obligations by notifying both major stock exchanges about the upcoming board meeting. The intimation was sent to BSE Limited and National Stock Exchange of India Limited on March 4, 2026, in accordance with Regulation 29 of SEBI Listing Regulations.

Additionally, the company has made the information publicly available on its official website under the announcements section, specifically within the issue of securities tab, ensuring transparent communication with all stakeholders.

Neogen chemicals has received Rs 60 crore as the third on-account insurance payment for the fire incident that occurred at its Dahej facility in March 2025. The payment was released based on recommendations from surveyors in their interim report, bringing the company's total insurance claims received to Rs 140 crore.

Insurance Claim Settlement Details

The insurance payment relates to the fire incident that took place at the Multi-Purpose Plant (MPP3) facility, warehouse, and tank farms located at Dahej SEZ on March 5, 2025, at around 12:30 a.m. IST. The company disclosed that further settlement will be determined in various stages following the completion of assessment for loss of property, plant and equipment including other assets at the Dahej SEZ Plant.

Financial Impact Assessment

The company has recognized a total loss of Rs 348.16 crore on a standalone basis, which increases to Rs 362.90 crore on a consolidated basis. This loss accounts for damage to property, plant and equipment, inventory, and estimated cost of incidental charges. Neogen Chemicals has recognized an insurance claim receivable of Rs 334.60 crore on a standalone basis after adjusting applicable deductibility.

The net impact after considering insurance claims stands at Rs 13.56 crore on a standalone basis and Rs 14.08 crore on a consolidated basis. Additionally, the company has received Rs 3.48 crore from the sale of salvaged scrap materials.

Production Status and Recovery Plans

Production and operations at the affected Multi-Purpose Plant (MPP3) facility, warehouse, and tank farms remain temporarily suspended. However, the company has initiated construction of a replacement plant, with commissioning scheduled for Q1 FY27.

To minimize business disruption, Neogen Chemicals has shifted production of critical select specialty products to other sites based on customer approvals. The company is also implementing planned expansion at its Patancheru Plant to help minimize the impact on earnings going forward.

Regulatory Compliance

The disclosure was made under Regulation 30 and Regulation 51 of the SEBI Listing Obligations and Disclosure Requirements Regulations, 2015. This update follows previous disclosures made on March 5, 2025, March 7, 2025, April 23, 2025, June 27, 2025, and July 16, 2025 regarding the fire incident. The company continues to assess the full extent of losses including loss of profit due to business interruption and reinstatement value of assets.