Himadri Speciality Chemical has announced an additional investment in Sicona Battery Technologies through the subscription of convertible notes. This strategic move marks the company's continued expansion into the battery technology sector.

Investment Details

The chemical manufacturer has opted to increase its stake in Sicona Battery Technologies by subscribing to convertible notes, demonstrating its commitment to the battery technology space. This investment approach allows Himadri Speciality Chemical to participate in Sicona's growth while maintaining flexibility in its investment structure.

Strategic Implications

This investment represents Himadri Speciality Chemical's ongoing strategy to diversify its business portfolio beyond traditional chemical manufacturing. The company's focus on battery technologies aligns with the growing demand for energy storage solutions in various industries.

The convertible notes structure provides Himadri Speciality Chemical with the option to convert its investment into equity at a later date, offering potential upside participation in Sicona Battery Technologies' future growth.

Himadri Speciality Chemical has emerged as a standout performer in the specialty chemicals sector, delivering remarkable returns despite recent market pressures. While the stock has faced headwinds in the near term, market experts believe the company's strategic expansion plans position it for a strong rebound.

Stock Performance Overview

The company's share price trajectory showcases impressive long-term growth despite recent volatility. According to BSE data, the stock has demonstrated exceptional performance across different timeframes.

Strategic Business Expansion

Himadri Speciality Chemical, India's largest producer of coal tar derivatives and specialty carbon black, is positioning itself as a major supplier to global electric vehicle and energy storage supply chains. The company's expansion strategy focuses on organic growth funded through cash flows from existing operations.

"The expansion is being done by organically expanding the current businesses and using the cash from those to invest in new businesses," stated Anurag Choudhary, chairman and managing director. The company's focus extends to specialty carbon black applications in plastics, coatings, cables, inks, and lithium-ion batteries.

Capacity Enhancement Plans

The company has outlined significant capacity expansion across its key business segments, requiring substantial capital investment.

Expert Outlook and Price Targets

Market analysts have expressed confidence in the company's growth trajectory, citing multiple positive catalysts. The company's transformation strategy and strategic acquisitions have garnered attention from research firms.

"Himadri has transformed itself from a chemical company to EV batteries and tyres with the recent acquisition of Birla Tyres, a brand which has a huge recall," noted Rajesh Agarwal, Head of Equity Research at AUM Capital. Independent analyst Ambareesh Baliga projects substantial revenue growth from new ventures, setting an expected EPS of ₹18.00 for FY27 with a target price of ₹630.00.

From a technical perspective, Jigar S. Patel from Anand Rathi identifies the stock at a crucial support level near its 200-DEMA. A daily close above ₹486.00 could trigger movement toward ₹520.00, while a break below might lead to ₹435.00.

Financial Performance Highlights

The company achieved record financial performance in FY25, demonstrating strong operational execution across its business segments.

Himadri Speciality Chemical is scheduled to announce its Q3FY26 results on January 16, which will provide further insights into the company's operational performance and progress on expansion initiatives.