Coromandel International , a prominent player in the Indian agricultural sector, has received a significant request that could alter its corporate structure. Yanmar Coromandel Agrisolutions Private Limited (YCAS) has formally asked to be reclassified from the 'promoter and promoter group' category of Coromandel International.

Background of the Request

The reclassification request comes in the wake of a substantial change in Coromandel's shareholding in YCAS. The company's stake in YCAS has been reduced from 40% to 10.60%, following a significant capital infusion by Yanmar Asia (Singapore) Corporation Pte Ltd (Yanmar Singapore).

Details of the Transaction

• Yanmar Singapore injected Rs. 149.72 crores into YCAS.
• This fund infusion resulted in the allotment of 11,09,00,741 equity shares to Yanmar Singapore.

Implications of the Shareholding Change

As a result of this share dilution, YCAS no longer qualifies as a promoter group entity for Coromandel International. According to the Securities and Exchange Board of India (SEBI) regulations, a company must hold at least 20% of another entity's equity share capital to be classified in the promoter group. With Coromandel's stake now at 10.60%, YCAS falls below this threshold.

Current Status and Next Steps

1. YCAS currently holds no shares in Coromandel International Limited.
2. The reclassification request will be presented to Coromandel's Board of Directors for approval.
3. Upon receiving board approval, Coromandel will seek no-objection from the National Stock Exchange of India Limited and BSE Limited.

Regulatory Compliance

The company has made this disclosure in compliance with Regulation 30 read with Regulation 31(A)(8) of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, as amended.

This development marks a significant change in the relationship between Coromandel International and YCAS, potentially impacting the company's shareholding structure and corporate governance landscape. Stakeholders and investors will be keenly watching the outcome of this reclassification request and its implications for Coromandel International's future strategic directions.

Coromandel International Limited , a leading player in the Indian fertiliser industry, has made a significant stride in agricultural innovation with the commissioning of a new nano fertiliser plant in Kakinada, Andhra Pradesh. This state-of-the-art facility, built with an investment of Rs 50 crores from internal accruals, marks a notable advancement in the company's product portfolio and production capabilities.

Plant Specifications and Capacity

The newly commissioned plant boasts an impressive daily production capacity of 30 KL, translating to an annual output of 10,000 KL. This substantial capacity positions Coromandel International to meet the growing demand for advanced fertiliser solutions across India.

Innovative Product Development

At the heart of this development is Coromandel International's commitment to research and innovation. The company has successfully developed nano fertilisers, including Nano DAP (Diammonium Phosphate) and Nano Urea, through its in-house research and development center. These cutting-edge products represent a significant leap in fertiliser technology.

Benefits of Nano Fertilisers

The nano-sized fertiliser particles are engineered to optimize nutrient delivery and absorption by plants. This innovative approach holds the potential to partially replace conventional fertilisers like DAP, which could lead to a reduction in fertiliser imports. The enhanced efficiency of nano fertilisers may contribute to more sustainable agricultural practices and improved crop yields.

Strategic Implications

This investment in nano fertiliser technology aligns with broader industry trends towards more efficient and environmentally friendly agricultural inputs. By establishing this facility, Coromandel International is positioning itself at the forefront of agricultural innovation in India.

Market Reach

The strategic location of the plant in Kakinada, Andhra Pradesh, enables Coromandel International to efficiently serve demands across the country. This geographical advantage could potentially strengthen the company's market presence and distribution capabilities in the agricultural sector.

Coromandel International's latest venture into nano fertiliser production demonstrates the company's commitment to advancing agricultural technology and supporting sustainable farming practices. As the agricultural sector continues to evolve, innovations like these could play a crucial role in addressing the challenges of food security and environmental sustainability.