Valiant Laboratories Limited (NSE: VALIANTLAB, BSE: 543998) has announced a significant milestone in its expansion strategy. The company's wholly-owned subsidiary, Valiant Advanced Sciences Private Limited, has commenced commercial operations at its new state-of-the-art manufacturing facility in Saykha, Gujarat.

Key Highlights

Strategic Importance

The new facility marks a crucial step in Valiant Laboratories' growth trajectory, aimed at:

1. Strengthening backward integration
2. Diversifying the product portfolio
3. Establishing a presence in the specialty chemicals industry

Facility Details

The Saykha plant is designed to produce Acetic Anhydride, a key chemical in the Ketene and Diketene derivatives category. This product caters to both domestic and international markets, potentially opening new revenue streams for the company.

Technology and Innovation

The facility boasts:

• State-of-the-art manufacturing technology
• A dedicated R&D setup to support future product development and innovation

Company Background

Valiant Laboratories Limited, established in 1980, has grown from its humble beginnings to become a prominent Indian manufacturer of Active Pharmaceutical Ingredients (APIs). The company specializes in Paracetamol API production and has built a reputation for reliability and quality in the pharmaceutical industry.

Financial Implications

While specific financial details of the new facility were not disclosed, the investment is expected to contribute to the company's growth strategy.

Looking Ahead

The Board of Directors of Valiant Laboratories Limited is scheduled to meet on November 11, 2023, to consider and approve the Standalone and Consolidated Audited Financial Results for the quarter and half year ended September 30, 2023. This meeting may provide further insights into the company's performance and the initial impact of the new facility.

As Valiant Laboratories continues to expand its operations and diversify its product range, the market will be watching closely to see how this strategic move translates into financial performance and market position in the coming quarters.

Valiant Laboratories Limited has received a final order from the Assistant Commissioner of CGST & Central Excise, Division-IV, Navi Mumbai Commissionerate, confirming a tax demand and penalty totaling ₹62.97 lakh for alleged wrong availment of Input Tax Credit (ITC) on capital goods.

GST Order Details

The order dated December 26, 2025, confirms a demand for wrong availment of Input Tax Credit on capital goods for the financial year 2021-22. The company had claimed depreciation on the GST component of capital goods, which has been held to be impermissible by the tax authorities.

Regulatory Violations Alleged

The GST authorities have identified violations under multiple sections of the CGST Act, 2017. The disallowance pertains to ITC on capital goods due to non-fulfillment of conditions and claim of depreciation on tax component, allegedly violating Sections 16(2), 17(5), 73, 50 and 122(2)(a) of the CGST Act, 2017, along with applicable provisions of the IGST and MGST Acts.

Company's Response Strategy

Valiant Laboratories has stated that it is evaluating all available options, including filing an appeal against the order before the appropriate authority. The company is assessing the course of action to challenge the GST order and present its case to higher tax authorities.

Compliance and Disclosure

In adherence to Regulation 30 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, the pharmaceutical company has promptly informed the stock exchanges about this development. The intimation has also been uploaded on the company's website at www.valiantlabs.in , ensuring transparent communication with all stakeholders.

Financial Impact Assessment

The confirmed liability of ₹62.97 lakh represents a reduction from the earlier proposed amount of ₹70.81 lakh mentioned in the show-cause notice. While this remains a significant financial obligation for the small-cap pharmaceutical company, the final outcome will depend on the success of any appeal proceedings the company may initiate.