Investment4 Sept 2025, 05:42 pm
Deepak Nitrite Subsidiary Infuses ₹ 34 Crores into Another Subsidiary via Preference Shares
AI Summary
Deepak Chem Tech Limited (DCTL), a wholly owned subsidiary of Deepak Nitrite Limited, has allotted 34,00,000 9% Optionally Convertible Redeemable Preference Shares (OCRPS) worth ₹ 34 Crores to Deepak Phenolics Limited (DPL), another wholly owned subsidiary of Deepak Nitrite Limited. The transaction is on an arms length basis and aims to strengthen DCTL's capital base and support project expenses and general corporate purposes. Both DCTL and DPL are related parties under Indian Accounting Standards and Companies Act, 2013. DCTL operates a state-of-the-art Fluorination plant and pursues projects in Gujarat. The turnover of DCTL during FY 2024-25 was ₹ 9.43 Crores.
Key Highlights
- Deepak Chem Tech Limited (DCTL) allotted 34,00,000 9% Optionally Convertible Redeemable Preference Shares (OCRPS) to Deepak Phenolics Limited (DPL)
- The transaction is worth ₹ 34 Crores and made at arms length
- The investment aims to strengthen DCTL's capital base and support project expenses and general corporate purposes
- DCTL and DPL are both wholly owned subsidiaries of Deepak Nitrite Limited and related parties
- DCTL operates a state-of-the-art Fluorination plant and pursues projects in Gujarat with a turnover of ₹ 9.43 Crores in FY 2024-25