Organic Recycling Systems Limited announced the acquisition of Industrial Associates Partnership Firm for ₹14.83 crores, as disclosed under Regulation 30 of SEBI (LODR) Regulations, 2015. The board of directors approved the acquisition proposal during their meeting held on January 19, 2026.

Acquisition Details

The acquisition involves a cash consideration of ₹14,82,93,634.00, with ₹99,900.00 as fixed capital contribution and the balance to be paid in tranches according to the Capital Contribution Agreement terms. Organic Recycling Systems Limited will hold a 99.99% stake in Industrial Associates upon completion.

Target Company Profile

Industrial Associates Partnership Firm operates in chemical trading and distribution, with headquarters in Mumbai and warehousing facilities in Bhiwandi. The firm was originally established in 1981 and reconstituted as a partnership in 2008, managed by three partners holding 100% ownership.

Financial Performance

The partnership firm demonstrated consistent revenue performance over the past three years:

Business Operations and Market Presence

Industrial Associates specializes in importing and distributing industrial chemicals, dyes, and intermediates, serving a strong customer base across Maharashtra and Gujarat. The company's product portfolio centers on high-demand industrial commodities, with Soda Ash and Trichloroethylene contributing approximately 58% of total revenue.

Key business highlights include:

• Established supplier relationships with reputed global and Indian companies including BASF, AGC Inc., DCW, and Chemplast
• Core applications spanning wastewater treatment, detergents, and chemical processing
• Exclusive operations within India
• Ready infrastructure for chemical storage, bulk handling, and dispatch

Strategic Benefits

The acquisition provides Organic Recycling Systems Limited with several strategic advantages. Industrial Associates' distribution network offers a ready go-to-market channel for the company's proprietary biogas catalyst, enabling swift monetization and sector adoption. The established stockist relationships ensure steady availability of high-volume chemicals, minimizing dependency on intermediaries and enhancing supply chain control.

Additionally, the Bhiwandi warehouse provides ready infrastructure supporting faster turnaround, lower distribution costs, and improved regional serviceability. Through its network, Industrial Associates will support Organic Recycling Systems by supplying green chemicals that enhance compressed biogas production through cleaner digestion and eco-friendly purification processes.

Regulatory and Completion Timeline

The acquisition does not require governmental or regulatory approvals and will not fall within related party transactions. The promoter, promoter group, and group companies have no interest in Industrial Associates. The Capital Contribution Agreement and Reconstituted Partnership Deed will be executed within 60 days following board and audit committee approval.

Organic Recycling Systems Limited (ORSL) has achieved a significant milestone in India's pursuit of sustainable energy solutions and carbon management. In a groundbreaking development, the company has been awarded a prestigious research grant under the DBT-BIRAC Joint Call on Carbon Capture and Utilization (CCU), marking a pivotal moment in the country's efforts towards carbon neutrality and circular economy.

Key Highlights of the Grant and Project

Innovative Approach to Carbon Utilization

The project aims to develop cutting-edge technology that will transform CO2 emissions from biogas plants into valuable products such as bio-alcohols and specialty chemicals. This innovative approach not only addresses the critical issue of carbon emissions but also may open up new revenue streams for India's rapidly expanding Compressed Biogas (CBG) sector.

Implications for the Biogas Industry

ORSL's initiative comes at a crucial time for India's biogas industry. Many Compressed Biogas plants currently vent or flare a significant portion of purified CO2 due to the lack of viable utilization pathways. The development of this BIO-CCU platform could potentially solve this issue, offering a sustainable solution for CO2 management while creating additional value for biogas producers.

Broader Impact on India's Climate Goals

This project aligns closely with India's broader climate objectives and its commitment to reducing carbon intensity. By developing indigenous CCU technologies, ORSL is contributing to the nation's efforts in deep industrial decarbonization and the transition towards a more sustainable energy landscape.

Looking Ahead

As ORSL embarks on this 24-month project, the outcomes could have far-reaching implications for India's approach to carbon management and sustainable energy production. The success of this pilot-scale platform could pave the way for larger implementations across the country, potentially revolutionizing how India's biogas industry operates and contributes to the nation's climate goals.

The grant awarded to ORSL not only recognizes the company's innovative approach but also underscores the government's commitment to fostering research and development in critical areas of environmental technology. As the project progresses, it will be interesting to observe how this technology evolves and its potential impact on India's journey towards a more sustainable and circular economy.