STEL Holdings Limited , a company under the promoter group of PCBL Chemical Limited, has made a significant move in the chemical industry by acquiring 12,00,000 equity shares of PCBL Chemical. This acquisition, completed on November 3, 2025, represents a 1.043% stake in PCBL Chemical's post-issue paid-up share capital.

Transaction Details

The acquisition was executed through the conversion of warrants previously allotted on a preferential basis. Here are the key details of the transaction:

About PCBL Chemical Limited

PCBL Chemical Limited, the target company of this acquisition, is a prominent player in the chemical industry:

• Core Business: Carbon black manufacturing
• Market Position: Largest carbon black manufacturer in India
• Production Facilities: Across India (Durgapur, Palej, Mundra, Kochi, and Chennai)
• Recent Turnover: Rs 5904.63 crores (FY 2024-25)
• Notable Acquisition: Recently acquired Aquapharma Chemical, a leading phosphonate producer

Strategic Implications

This transaction appears to be a strategic move for both STEL Holdings and PCBL Chemical:

1. Strengthening Ties: As STEL Holdings falls under the promoter group of PCBL Chemical, this acquisition reinforces the relationship between the two entities.
2. Financial Support: The cash infusion from this transaction is intended to support PCBL Chemical's debt repayment, working capital needs, and general corporate purposes.
3. Growth Objectives: The additional capital is expected to aid PCBL Chemical in pursuing its growth objectives and meeting business requirements.

Regulatory Compliance

The transaction has been conducted in compliance with relevant regulations:

• Adheres to provisions of the Companies Act, 2013
• Follows SEBI regulations for related party transactions
• Executed at arm's length, ensuring fairness in the transaction

Industry Outlook

This acquisition comes at a time when PCBL Chemical has been expanding its footprint in the chemical industry. With its recent acquisition of Aquapharma Chemical, PCBL has strengthened its position in the performance chemicals space, indicating a strategy of diversification and growth in the sector.

The chemical industry, particularly the carbon black and specialty chemicals segments, appears to be in a phase of consolidation and expansion. This move by STEL Holdings suggests confidence in the sector's future prospects and PCBL Chemical's growth trajectory.

As the chemical industry continues to evolve, such strategic investments and expansions may play a crucial role in shaping the competitive landscape and driving innovation in the sector.

STEL Holdings Limited , a Core Investment Company, has announced its unaudited financial results for the quarter and half-year ended September 30, 2025, showcasing robust performance and strategic developments.

Financial Highlights

The company reported impressive financial results for Q2 FY2026:

STEL Holdings' revenue from operations increased by 16.59% year-over-year, primarily driven by a substantial dividend income of Rs. 857.67 lakhs. The company's total income for the quarter stood at Rs. 926.55 lakhs, marking a 19.14% increase compared to the same period last year.

Net profit for Q2 FY2026 reached Rs. 664.52 lakhs on a consolidated basis, representing a 16.27% growth from the previous year. This growth in profitability is reflected in the company's earnings per share (EPS), which improved from Rs. 3.10 in Q2 FY2025 to Rs. 3.60 in Q2 FY2026.

Half-Year Performance

For the half-year ended September 30, 2025, STEL Holdings reported:

• Total income of Rs. 997.29 lakhs
• Net profit of Rs. 699.41 lakhs
• EPS of Rs. 3.79

Balance Sheet Strength

As of September 30, 2025, STEL Holdings' consolidated balance sheet showed:

• Total assets of Rs. 2,03,268.48 lakhs, up from Rs. 1,91,251.06 lakhs as of March 31, 2025
• Investments valued at Rs. 2,00,316.26 lakhs, indicating a strong investment portfolio

Policy Changes

In addition to the financial results, the Board of Directors approved changes to the Policy for Determining Materiality of Events. This move is expected to enhance the company's corporate governance practices and improve transparency in its disclosures.

Management Commentary

Abraham Ittiyipe, Whole-time Director of STEL Holdings Limited, stated, "Our strong performance this quarter reflects the robustness of our investment strategy and the quality of our portfolio. The significant dividend income underscores the value we derive from our strategic investments. We remain committed to creating long-term value for our shareholders while maintaining a prudent approach to investment management."

STEL Holdings Limited continues to operate as a Core Investment Company, deriving its income primarily through dividends, interest, and gains from investments. The company's focus on strategic investments and efficient capital allocation has contributed to its consistent financial performance.

Investors and stakeholders can access more detailed information about the financial results and policy changes on the company's website at www.stelholdings.com .