TANFAC Industries Limited's Board of Directors approved a comprehensive set of strategic initiatives on January 09, 2026, marking significant expansion and restructuring plans for the chemical manufacturing company. The decisions encompass major capital investments, fund raising activities, corporate restructuring, and leadership changes that position the company for enhanced growth.

Major Manufacturing Facility Expansion

The Board approved establishment of a new downstream fluorinated chemicals manufacturing facility representing a substantial investment in the company's production capabilities. The project details are outlined below:

The facility will be established at the company's existing manufacturing location in Cuddalore and will be funded through a combination of equity and debt. This project forms part of TANFAC Industries' long-term growth strategy to expand its downstream product portfolio while supporting India's environmental commitments and creating long-term stakeholder value.

Fund Raising Through QIP

The Board approved raising funds aggregating to ₹500.00 crores through Qualified Institutional Placement (QIP) or other permitted modes. The fund raising will be conducted in one or more tranches, subject to shareholder and regulatory approvals. The equity shares will be issued in accordance with applicable law at prices permissible under current regulations.

Share Subdivision Initiative

TANFAC Industries approved subdivision of equity shares to enhance liquidity and encourage participation from small investors. The subdivision details are presented below:

The subdivision ratio is 1:2, where each existing equity share of ₹10.00 face value will be subdivided into two equity shares of ₹5.00 face value each. The initiative aims to make equity shares more affordable for small investors and enhance overall market liquidity. The record date will be decided after obtaining shareholder approval.

Leadership and Management Changes

The Board approved significant changes in the company's leadership structure. Mr. Afzal Harunbhai Malkani's designation was changed from Non-executive, Non-Independent Director to Managing Director for a five-year term from January 09, 2026 to January 08, 2031, subject to shareholder approval. Mr. Malkani brings over 25 years of experience in finance, corporate finance, capital markets, and regulatory compliance, having previously served as Chief Financial Officer at Anupam Rasayan India Limited and Zen Technologies Limited.

Mrs. Sandhya Venugopal Sharma was appointed as Chairperson and Additional Director in the Nominee Director, Non-independent category with effect from January 09, 2026. She is a 1995 batch IAS officer of Tamil Nadu cadre with extensive administrative experience, including central deputation with the Department of Space as Joint Secretary and Additional Secretary.

Simultaneously, Mrs. Mariam Pallavi Baldev resigned from her position as Non-executive, Non-Independent Director effective January 09, 2026. The Board also approved consequential amendments to the Capital Clause V of the Memorandum of Association due to the share subdivision, subject to shareholder approval.

Regulatory Compliance and Timeline

All approved initiatives are subject to necessary shareholder approvals and statutory/regulatory clearances as required under SEBI Listing Obligations and Disclosure Requirements Regulations, 2015. The share subdivision is expected to be completed within three months from shareholder approval, while the manufacturing facility project timeline extends to November 2026 for commissioning.

Tanfac Industries has announced a series of major corporate developments, highlighting the company's strategic expansion and restructuring initiatives. The chemical manufacturer has approved significant investments and organizational changes that are expected to strengthen its market position.

Major Capital Investment and Expansion

The company has greenlit the establishment of a new fluorinated chemical manufacturing plant, representing a substantial investment of ₹495 crore. This facility expansion demonstrates Tanfac Industries' commitment to enhancing its production capabilities in the specialized chemical sector.

Equity Fundraising Initiative

To support its expansion plans and strengthen its financial position, Tanfac Industries has announced plans to raise ₹500 crore through equity funding. This capital infusion will provide the necessary resources for the company's growth initiatives and operational requirements.

Share Restructuring

The board has approved a share split that will reduce the face value of shares from ₹10 to ₹5 per share. This corporate action typically makes shares more accessible to a broader range of investors by reducing the absolute share price.

Leadership Changes

Tanfac Industries has undergone significant changes in its leadership structure with the appointment of a new chairperson and managing director. These appointments represent a strategic shift in the company's management approach as it embarks on its expansion phase.

Simultaneously, the company has announced the resignation of a non-executive director from the board, marking another change in its governance structure.

Strategic Implications

These developments collectively indicate Tanfac Industries' focus on growth and modernization. The combination of substantial capital investment, equity fundraising, share restructuring, and leadership changes suggests a comprehensive strategic overhaul aimed at positioning the company for future growth in the chemical manufacturing sector.