Paradeep Phosphates Limited (PPL) has announced a significant milestone in its merger process with Mangalore Chemicals & Fertilizers Limited (MCFL). The company has set October 13, 2025, as 'Effective Date 1' for the composite scheme of arrangement between the two entities.

Key Developments

• Effective Date 1: October 13, 2025
• Effective Date 2: Scheduled three days after Effective Date 1
• Merger Type: Amalgamation of MCFL (Transferor Company) with PPL (Transferee Company)

Regulatory Compliance

Both companies have taken crucial steps to ensure regulatory compliance:

1. PPL has e-filed the certified copy of the sanction order from the National Company Law Tribunal (NCLT), Cuttack Bench, with the Registrar of Companies, Cuttack.
2. MCFL has e-filed the certified copy of the sanction order from the NCLT, Bengaluru Bench, with the Registrar of Companies, Bengaluru.

Merger Process

The merger process is structured in two main parts:

1. Part I: Effective from October 13, 2025 (Effective Date 1)
2. Part II: Will become effective on 'Effective Date 2', which is defined as three days after Effective Date 1

Part II of the scheme deals with the actual amalgamation of MCFL with PPL, which will take effect from the 'Appointed Date 2'.

Next Steps

Paradeep Phosphates has committed to making appropriate disclosures upon the occurrence of 'Effective Date 2'. This transparency ensures that shareholders and stakeholders remain informed about the progress of the merger.

Implications

This merger is a significant corporate action that could potentially reshape the fertilizer industry landscape in India. The amalgamation of MCFL with PPL may lead to synergies in operations, expanded market reach, and potentially improved financial performance for the combined entity.

Investors and market watchers should keep a close eye on further announcements from Paradeep Phosphates, particularly regarding the completion of the merger process on Effective Date 2 and any subsequent strategic decisions or operational changes.

As this corporate action unfolds, it will be crucial to monitor how the market responds and what impact it may have on the broader fertilizer sector in India.

Paradeep Phosphates Limited has marked a significant milestone in its operational expansion with the successful commissioning of a new sulphuric acid plant at its Paradeep facility. The state-of-the-art plant, with a daily production capacity of 1,500 metric tonnes, represents a substantial investment of ₹510.00 crores by the company.

Enhanced Captive Production

The newly commissioned sulphuric acid plant is set to play a crucial role in Paradeep Phosphates' manufacturing ecosystem. By boosting the company's captive production capabilities, this strategic addition is expected to streamline the supply chain and enhance overall operational efficiency.

Reducing Import Dependency

A key benefit of this new facility is its potential to significantly reduce Paradeep Phosphates' reliance on imported sulphuric acid. This move towards self-sufficiency is particularly important in the context of the fertilizer industry, where input costs and supply chain stability are critical factors.

Operational Efficiency Gains

The investment in the sulphuric acid plant aligns with Paradeep Phosphates' broader strategy to improve its operational efficiency. By bringing a critical component of its production process in-house, the company is poised to better control quality, reduce logistical complexities, and potentially realize cost savings in the long term.

Investment Details

The total investment of ₹510.00 crores in this project underscores Paradeep Phosphates' commitment to enhancing its manufacturing capabilities and maintaining its competitive edge in the phosphatic fertilizers market. This substantial outlay reflects the company's confidence in the long-term benefits of vertical integration within its production chain.

The commissioning of this new sulphuric acid plant represents a significant step forward for Paradeep Phosphates, potentially strengthening its position in the fertilizer industry and contributing to its long-term growth strategy.