Deals12 Nov 2025, 05:31 pm
Excel Industries Ltd Signs Binding Term Sheet for Contract Manufacturing and Supply of Specialty Chemicals
AI Summary
Excel Industries Ltd has signed a binding term sheet for contract manufacturing and supply of specialty chemicals with an Indian specialty chemicals company. This new contract will necessitate an expansion of the current production capacity of the Specialty Chemicals. The company will receive a supply advance of Rs 25 Cr from the customer, which will be adjusted against supplies. A new line will be built to cater to the increased supplies, with an estimated CAPEX of Rs 395 Cr. The contract manufacturing and supply arrangement will strengthen the company's presence in its core area of Specialty Chemicals and Contract Manufacturing, and is expected to generate annual jobwork income of Rs 35 - 40 Cr.
Key Highlights
- Excel Industries Ltd has signed a binding term sheet for contract manufacturing and supply of specialty chemicals with an Indian specialty chemicals company.
- The new contract will necessitate an expansion of the current production capacity of the Specialty Chemicals.
- The company will receive a supply advance of Rs 25 Cr from the customer, which will be adjusted against supplies.
- A new line will be built to cater to the increased supplies, with an estimated CAPEX of Rs 395 Cr.
- The contract manufacturing and supply arrangement is expected to generate annual jobwork income of Rs 35 - 40 Cr.