Axis Mutual Fund has reduced its shareholding in Neogen Chemicals by 1.46% through an open market disposal on June 2, 2026. This transaction lowers the fund's total equity stake in the company to 4.04%, complying with disclosure requirements under Regulation 29(2) of the SEBI (Substantial Acquisition of Shares & Takeovers) Regulations, 2011.

The sale comprised 4,00,000 equity shares, executed by the Axis Small Cap Fund. Prior to this disposal, the mutual fund schemes collectively held 15,05,406 shares, representing 5.50% of the paid-up share capital. The reduction brings the total holding down to 11,05,406 shares. The equity share capital of Neogen Chemicals remains at Rs 27,38,16,740, comprising 2,73,81,674 shares of face value Rs 10.

Axis Asset Management Company Limited, the investment manager for Axis Mutual Fund, confirmed that the sale was conducted in the ordinary course of business as portfolio investments. The disclosure was submitted to the stock exchanges on June 3, 2026, and subsequently disseminated on June 5, 2026.

Scheme-wise Holdings

The following table details the shift in holdings across specific Axis Mutual Fund schemes before and after the disposal:

The filing was signed by Unnati Rajesh Kanani, Company Secretary and Compliance Officer for Neogen Chemicals, and Darshan Kapadia, Compliance Officer for Axis Asset Management Company Limited.

Neogen Chemicals Limited reported its financial results for the fourth quarter and full year ended March 31, 2026. On a consolidated basis, revenue for Q4 FY26 stood at INR 247 crore, registering a growth of 22% year-on-year. EBITDA increased by 21% year-on-year to INR 44 crore, with margins sustained at 17.8%. Profit after tax for the quarter was INR 11 crore. The company's growth was driven by improved volumes and sustained high plant utilization across core businesses.

Financial Performance

Neogen Ionics, the battery materials subsidiary, contributed INR 13 crore to Q4 revenues and INR 36 crore for the full year. For the full year FY26, revenue stood at INR 862 crore, a growth of 11% year-on-year, while EBITDA increased to INR 137 crore and PAT stood at INR 29 crore.

Segment Performance

Operational verticals showed mixed performance. Organic Chemicals recorded revenue of INR 194 crore, up 7% year-on-year. The Inorganic Chemicals segment delivered a standout performance with INR 53 crore in revenue, marking a 145% expansion over the previous year. This growth was largely volume-driven, supported by new customer additions and the ability to recycle lithium from the organolithium plant.

Strategic Developments and Guidance

The Board has recommended a final dividend of INR 1 per equity share for FY26. Looking ahead, the company remains confident of achieving standalone revenues in the range of INR 875 crore to INR 950 crore in FY27. This guidance excludes the battery chemicals business. For Neogen Ionics, the company expects revenue potential of INR 300 crore plus in FY27, with the majority expected in the second half as the Pakhajan facility ramps up.

Project Updates

Construction of the Dahej replacement facility is progressing rapidly, with commissioning on track for June 2026. The Pakhajan greenfield site has achieved a significant milestone with the completion of mechanical assembly for the electrolyte plant. Commercial manufacturing for electrolyte is targeted for H1 FY27, while electrolyte salts are expected in H2 FY27. The company received a recent insurance claim tranche of INR 60 crore in February 2026, bringing total cumulative claims received to INR 140 crore plus a salvage realization of INR 7 crore.