Coromandel International Acquires Majority Stake in NACL Industries, Triggers Major Board Restructuring
Coromandel International Limited has acquired a 53.13% stake in NACL Industries, becoming the new promoter. This acquisition led to significant board restructuring with six new appointments, including Dr. Raghuram Devarakonda as Managing Director and CEO, and ten resignations. Mr. Natarajan Srinivasan is appointed as the new Chairman. The company will seek shareholder approval for new appointments and changes to articles of association. B S R & Co. resigned as statutory auditors, replaced by S. R. Batliboi & Associates LLP, pending shareholder approval.

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NACL Industries , a prominent player in the Indian agrochemical sector, has undergone a significant ownership change and corporate restructuring. Coromandel International Limited, a leading agri solutions provider, has acquired a controlling 53.13% stake in NACL Industries, marking a pivotal moment in the company's history.
Acquisition Details
Coromandel International completed the acquisition of 10,68,96,146 equity shares of NACL Industries through share purchase agreements with previous promoters including KLR Products Limited, K. Lakshmi Raju, and Bright Town Investment Advisor Private Limited. This transaction has resulted in Coromandel International becoming the new promoter of NACL Industries, effectively changing the control of the company.
Board Restructuring
Following the change in ownership, NACL Industries has undergone a substantial board restructuring:
New Appointments
- Dr. Raghuram Devarakonda: Appointed as Managing Director and Chief Executive Officer
- Mr. Natarajan Srinivasan: Appointed as Non-Executive Director
- Mr. Sankarasubramanian S: Appointed as Non-Executive Director
- Mr. Suresh Subramanian: Appointed as Independent Director
- Mr. B. Raghavendra Rao: Appointed as Independent Director
- Mr. Sanjiv Lal: Appointed as Independent Director
Resignations
Ten existing directors, including the previous Chairperson Mrs. K Lakshmi Raju, have stepped down from their positions.
Management Changes
Mr. Natarajan Srinivasan, Executive Vice Chairman of Coromandel International, has been appointed as the new Chairman of the NACL Board of Directors. Mr. S Sankarasubramanian, Managing Director & CEO of Coromandel, has joined the NACL Board as a Non-Executive Director.
Strategic Implications
The acquisition is expected to create synergies between NACL Industries and Coromandel International, potentially strengthening NACL's product portfolio and expanding its presence in both domestic and international markets.
Statutory Auditor Change
In light of the ownership change, B S R & Co., the previous statutory auditors, have resigned due to potential independence implications. S. R. Batliboi & Associates LLP has been appointed as the new statutory auditors, subject to shareholder approval.
Shareholder Approval
The company will seek shareholder approval through postal ballot for the new appointments and amendments to the articles of association, reflecting the termination of the previous shareholders' agreement.
This strategic move by Coromandel International to acquire NACL Industries is likely to have significant implications for both companies in the agrochemical sector. As the integration process unfolds, industry observers will be keenly watching how this acquisition shapes the competitive landscape in the Indian agricultural solutions market.
Historical Stock Returns for NACL Industries
1 Day | 5 Days | 1 Month | 6 Months | 1 Year | 5 Years |
---|---|---|---|---|---|
-3.62% | -3.05% | +25.17% | +342.21% | +368.97% | +544.60% |