SRF Limited Inks Rs 282 Crore Land Deal with Tata Steel SEZ for Chemical Business Expansion
SRF Limited has entered into a Memorandum of Understanding with Tata Steel Special Economic Zone Limited to acquire land in Gopalpur, Orissa, for approximately Rs 282 crore. The land will be used to set up various projects for SRF's Chemicals Business. The acquisition will be through a sub-lease arrangement, subject to due diligence and payment obligations. This move signifies SRF's expansion plans in its chemicals segment.

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SRF Limited , a multi-business chemicals conglomerate, has taken a significant step towards expanding its chemicals business operations. The company has entered into a Memorandum of Understanding (MoU) with Tata Steel Special Economic Zone Limited (TSSEZL) for a land acquisition deal valued at approximately Rs 282.00 crore, excluding taxes.
Key Details of the Agreement
The MoU outlines the following crucial points:
- Location: The land to be acquired is situated in Gopalpur, District Ganjam, Orissa.
- Purpose: SRF Limited plans to set up various projects for its Chemicals Business on this land.
- Nature of Acquisition: The land will be acquired through a sub-lease arrangement with TSSEZL.
- Next Steps: The MoU allows SRF to conduct necessary due diligence. Upon fulfilling payment obligations, SRF can enter into a definitive sub-lease agreement with TSSEZL within a specified timeframe.
Transaction Details
Aspect | Details |
---|---|
Transaction Value | Rs 282.00 crore (approx.) |
Taxes | Excluded from the stated value |
Related Party Transaction | No |
Shareholding in TSSEZL | Nil |
Implications and Outlook
This strategic move by SRF Limited signifies a substantial investment in its chemicals business segment. The acquisition of land in Orissa's Gopalpur area could potentially lead to:
- Expansion of SRF's production capabilities
- Diversification of its chemical product portfolio
- Strengthening of its market position in the chemicals sector
The company's decision to set up projects in a Special Economic Zone (SEZ) might also bring additional benefits such as tax incentives and improved infrastructure.
Regulatory Compliance
SRF Limited has duly informed the stock exchanges about this development, in compliance with Regulation 30 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015. The disclosure ensures transparency for shareholders and the market regarding this significant business move.
As the chemicals industry continues to evolve, SRF Limited's expansion plans reflect its commitment to growth and adaptation to market demands.
Historical Stock Returns for SRF
1 Day | 5 Days | 1 Month | 6 Months | 1 Year | 5 Years |
---|---|---|---|---|---|
-0.46% | +4.20% | +4.41% | +0.44% | +19.43% | +243.13% |