Tata Chemicals Ltd
Tata Chemicals Ltd (TATACHEM)

Tata Chemicals Ltd (TATACHEM)


Key Stats

Day's Price Range
52-Week Price Range
1 Month Return-2.83 %
3 Month Return12.8 %
1 Year Return34.76 %

Company Financials

  • Quarterly
  • Annual
Value in ₹ crore

Peer Comparsion

Rank 1
Rank 5
Rank 2
Dividend Yield
Rank 1
Rank 9
Price To Book Ratio
Rank 1
Debt To Asset
Rank 2

Company Information

Tata Chemicals Ltd is a global company with interests in businesses that focus on LIFE living industrial and farming essentials. Tata Chemicals currently is the worlds third largest producer of soda ash with manufacturing facilities in Asia Europe Africa and North America. Tata Chemicals is the worlds third largest producer of sodium bicarbonate which has applications that range from food to pharmaceuticals to air pollution control. Tata Chemicals is the pioneer and market leader in Indias branded Iodised salt segment. The company sells pulses and spices under the Tata Sampann brand. The companys Tata Swach range of water purifiers includes a lowcost nanotechnologybased purifier that provides safe drinking water at affordable prices. The company also makes nutraceuticals for healthy and tasty modern food. With its Farming Essentials portfolio the company through its subsidiary Rallis India has a strong position in the crop protection business.Tata Chemicals Ltd was incorporated on January 23 1939. In the year 1942 the company completed the bromine plant the first unit of the companys chemical works. In the year 1943 they commissioned the auxiliary power plant. Also they commenced the production of caustic soda liquid chlorine bleaching powder hydrochloric acid and zinc chloride. In February 1944 the company started the soda ash production. During the year the company was given the rights to manufacture salt and marine minerals and to use limestone and other raw materials within the Kathiawad region. In the year 1949 they started the production of sodium bicarbonate. During the year 195253 they increased the Soda ash capacity from 50 to 100 tonnes per day. Also they started production of technical grade benzene hexachloride a pesticide during the year 195556 starts so as to utilise surplus chlorine.In the year 1957 the company in association with Fison Pest Control formed a joint venture company name Tata Fisons. They introduced Ethylene dibromide a new product from bromine. Also they started production of an insecticide namely copper oxychloride. During the year 195758 they launched a major expansion programme to increase capacity of products. In the year 1959 they completed the first phase of expansion. During the year 196162 they started production of dense soda ash.In the year 1964 the company completed their expansion programme and the soda ash capacity touched 400 tonnes per day. In the year 1971 they discontinued sale of chemicals through Tata Oil Mills TOMCO and starts selling on their own. In the year 1974 they set up Tata Energy Research Institute with an initial contribution of Rs 1 crore. During the year 197778 they started shipping division and also set up a wholly owned investment subsidiary namely Roshan Investments Ltd. During the year 197980 the company established Tata Chemicals Society for Rural Development to improve quality of life in Okhamandal villages. In the year 1983 they launched Tata Salt Indias first iodised vacuum evaporated and branded salt. In the year 1992 they launched Tata Shudh detergent. In the year 1993 the company started a new cement plant at Mithapur. In the year 1994 they commissioned the fertilizer plant at Babrala. In the year 1996 the company received ISO 9001 certification.The production severely affected due to earthquake on January 2001 and the accidental fire in the power plant on March 2 2001. During the year 2002 the companys Mithapur plant was awarded ISO14001 certification and also the Chemicals Division at Mithapur was awarded the ISO90012000 Migration certificate. In the year 2003 Tata Salt was ranked No. 1 Food brand in Brand Equity Survey of Indias most trusted brands. The fertiliser plant got ISO14001 and OHSAS18001 certified. In the year 2004 the company set up the Innovation Centre to develop worldclass RD capability in the emerging areas of nanotechnology and biotechnology. In the year 2005 the company acquired equal partnership in Indo Maroc Phosphore SA IMACID along with Chambal Fertilisers and global phosphate major OCP of Morocco. In the year 2006 the company completed the acquisition of UKbased Brunner Mond Group one of the worlds leading manufacturers of soda ash and associated alkaline products.In January 2007 the company set up 50:50 joint venture in association with Total Produce Ireland the third largest fruits and vegetable distribution company in the world namely Khet Se Agriproduce Pvt Ltd. This JV was formed with the objective of bridging the gap between producer and end consumer in fresh produce business which will significantly increase efficiencies improve shelflife and reduce product loss in the supply chain.During the year 200708 the company acquired General Chemical Industrial Products Inc one of the large soda ash players in the US market for a total consideration of USD 1005 million. As a part of the GCIP acquisition structure they set up a 100 subsidiary in Mauritius namely Wyoming 1 Mauritius Pvt Ltd. Also they set up downstream subsidiaries namely Wyoming 2 Mauritius Pvt Ltd Gusuite Holding UK Ltd and Valley Holdings Inc. US were incorporated at Mauritius UK and US respectively. They also set up a 100 subsidiary in Singapore namely Tata Chemicals Asia Pacific Pvt Ltd.During the year the company undertook field research on Jatropha a nonedible tree crop for biodiesel production. They set up a research farm in Aurangabad and started varietal trials for developing a package of practice. Also they set up multi location trials for Jatropha in Gujarat Maharashtra Tamilnadu and Andhra Pradesh. The company acquired land on the outskirts of Pune for constructing a stateoftheart dedicated RD centre which will become its central knowledge hub.During the year 200809 the company through the wholly owned subsidiary Tata Chemicals Asia Pacific Pte Ltd entered into a joint venture agreement by investing SGD 15 million in JOil Singapore Pte Ltd a Jatropha seeding company based in Singapore. The company holds 33.80 stake in JOil. In May 2008 the operations of KhetSe began with the launch of its first stateofthe art procurement and distribution facility for fresh fruits and vegetables at Malerkotla Punjab. During the year 200910 the company set up a bioethanol test plant of 30 KLPD at Nanded Maharashtra as a part of their Biofuel Research and Development Programme using non conventional raw materials. They launched a nanotech water purifier which uses natural materials and cutting edge nanotechnology under the brand name Tata Swach. The product was initially launched in Maharashtra and Karnataka.In November 2009 the company acquired 5362923 shares of Rallis India Ltd Rallis. By virtue of such acquisition the shareholding of the company in Rallis went up to 50.06 and thereby making Rallis as their subsidiary with effect from November 9 2009.During the year the company launched their Alkakarb branded bicarbonate in the Indian market aimed at animal feed application. As the domestic market matures and grows the company will introduce all the other brands in their portfolio in India produced in their stateoftheart plant in the UK.During the year the company took steps to increase salt production at their Mithapur plant through debottlenecking to further boost the volumes available for sale. The company is setting up 1.32 Lakh MT capacity Customized Fertilizer plant at Babrala. In August 2010 the company signed a publicprivate partnership agreement with the Department of Science and Technology and Central Salt and Marine Chemicals Research Institute for setting up a 3 tonne per day sulphate of potash fertiliser plant in Gujarat as a joint research project. During the year 201011 the company launched their Sodakarb branded bicarbonate in the Indian market aimed at food applications. They done the pilot launch of I Shakti pulses in the states of Tamil Nadu and Maharashtra. The pilot was aimed to integrate the strength of the companys presence in both farm and consumer facing ends of the business. As a part of their Biofuels Research and Development Programme using non conventional raw materials the Company setup a bioethanol test plant of 30 KLPD at Nanded Maharashtra. The company now plans to set up a first generation bioethanol plant based on sugarcane only at Mozambique.During the year the company acquired South Africas Grown Energy which controls 95 stake in Grown Energy Zambeze to build biofuels capabilities in Mozambique. In December 30 2010 Rallis India Ltd a subsidiary of the company acquired 60.21 stake in Metahelix Life Science Ltd a research led seeds company. This acquisition will firm up the companys presence in the entire Seeds Value Chain that comprises breeding production and marketing of seeds.In January 2011 the company through their wholly owned overseas subsidiaries Tata Chemicals Europe Ltd acquired 100 stake in British Salt held through Cheshire Salt Holdings Ltd. During the Same year the company invested in Greenfield Portbased AmmoniaUrea Fertilizer Manufacturing Complex in Gabon Africa. The company signed technical services agreement with Notore Chemicals Industries of Nigeria for providing technical advisory services. The company also acquired stake in EPM Mining Ventures. The company also Signed the Pre Construction Services Agreement with Technip for the Gabon Fertiliser Project.In 2012 the company won the prestigious Employer Branding Award 2012 for Best HR Strategy in Line with Business Strategy instituted by the World HRD Congress.In 2013 the company won numerous awards like three awards at FAI Golden Jubilee Awards etc. The company signs MoU with the Institute of Chemical Technology to set up endowment chair of Rs 3.5 crore. In 2014 the company inaugurates its new Innovation Centre in Pune. Homefield International Pvt. Ltd. Mauritius was amalgamated with the Company. A new Tata Chemicals Innovation Centre was inaugurated in Pune.On 30 May 2014 Olam International Limited Olam and Tata Chemicals Limited TCL signed a termination agreement. TCL has decided not proceed with its proposed 25.1 percent equity participation in the greenfield ammoniaurea fertiliser manufacturing project GFC in the Republic of Gabon Africa. On April 11 2011 the parties announced TCLs participation in the project in which Olam currently holds 80 percent stake with the Government of the Republic of Gabon ROG holding the remaining 20 percent. This decision was made due to a change in TCLs investment focus away from overseas fertiliser manufacturing and Olams intention to move to a minority and nonconsolidated position in the project.In 2015 Tata Chemicals Babrala plant bags NSCIs Suraksha Puraskar at the National Safety Awards.On 7 October 2015 Tata Chemicals TCL announced the launch of a new brand Tata Sampann under its consumer products business. Launched with a focus on delivering food products that fulfill everyday needs of nourishment Tata Sampann will act as an umbrella brand and will house the current and the future food portfolio including the unpolished highprotein dal range and lowoil absorb besan made from 100 percent chana dal. Sampann a Hindi word means enriched prosperous complete and connotes the brands purpose to offer that extra nourishment in daily foods.On 15 October 2015 Tata Chemicals announced the launch of Tata Sampann Spices under its Consumer Products Business. Following a phasewise rollout plan Tata Sampann Spices would be available across the northern market by the end of the year followed by the west east and south market. The spices category aims to leverage Tata Salts vast distribution network that caters to 120 million households across the nation.Tata Chemicals Board of Directors at its meeting held on 10 August 2016 considered and accepted the recommendations of the committee of directors as well as the audit committee for the transfer of the business of sale and distribution of urea and customised fertilisers manufactured by the company at its plants located in Babrala Uttar Pradesh Urea Business by way of a slump sale by the company to Yara Fertilisers India Private Limited Yara India pursuant to a scheme of arrangement Scheme approved by the board subject to all requisite regulatory and other approvals and sanction by the High Court/ National Company Law Tribunal NCLT in the manner agreed by the company and Yara. The lump sum consideration for the transfer of the Urea Business of the company by way of a slump sale pursuant to the Scheme is Rs 2670 crore subject to certain adjustments after closing as agreed between the parties in terms of the definitive agreements and the Scheme.The Board of Directors of Tata Chemicals Limited at its meeting held on 6 November 2017 considered and accepted the recommendations of the Committee of Directors for sale disposal and transfer of Phosphatic Fertilisers business and the trading business comprising of bulk fertilisers and nonbulk fertilisers Phosphatic Business by way of a slump sale on a going concern basis by the Company to IRC Agrochemicals Private Limited IRC a wholly owned subsidiary of Indorama Holdings BV Netherlands part of Indorama Corporation Pte Ltd. Singapore Indorama on the terms and conditions laid down in the Business Transfer Agreement BTA. The transaction would involve transfer of Haldia Plant Trading Business of bulk and nonbulk fertilisers along with immovable movable properties working capital and product brands but excluding outstanding subsidy amounts. The lump sum consideration for the transfer of the Phosphatic Business of the company by way of a slump sale is Rs 375 crore subject to certain adjustments after closing as agreed between the parties in terms of the BTA.On 22 March 2018 Tata Chemicals announced the launch of Medikarb Indias first branded pharmaceutical grade sodium bicarbonate for pharma API and formulation manufacturing. Medikarb will be manufactured in state of the art FDA certified facilities that are compliant with GMP standards to ensure the highest quality product conforming to Indian Pharmacopoeia specifications. Sodium bicarbonate is a vital ingredient in the production of effervescent antacids analgesic tablets and powders vitamin supplements injectable powders toothpaste and antacid gel formulations. It is also used as a buffering agent providing bicarbonate ions to balance the pH during blood purification.As on 31 March 2018 the Company had 36 direct and indirect subsidiaries 5 in India and 31 overseas and 5 joint venture companies.On 8 April 2018 Tata Chemicals entered into a Business Transfer Agreement with Allied Silica Limited to acquire their business of precipitated silica for a consideration of Rs 123 crore on a slump sale basis. This agreement includes the acquisition of an existing manufacturing site in Tamil Nadu which will produce Highly Dispersible Silica HDS. The specialty chemical product represents a downstream value addition to Tata Chemicals soda ash business where it ranks among the top manufacturers globally.On 1 June 2018 Tata Chemicals announced that the company has completed the sale and disposal of its Phosphatic Fertilisers business and the Trading business comprising bulk and nonbulk fertilisers by way of a slump sale on a going concern basis to IRC Agrochemicals Private Limited after the receipt of requisite regulatory approvals and fulfillment of Conditions Precedent as contemplated in the Business Transfer Agreement dated 6 November 2017.On 18 June 2018 Tata Chemicals announced completion of acquisition of the Silica business from Allied Silica. This acquisition is a part of the Rs 295 crore investment approved by the Board during Feb 2017 towards this specialty business.Tata Chemicals won an award at CII 12th National Six Sigma Competition 2018. Tata Chemicals Mithapur bags Best HR practice awards. The company won at Asias Most Trusted Companies Awards 2018. The company bagged the coveted CII Most Innovative Knowledge Enterprise Award 2018During the FY2019the company approved capex of Rs 2400 crore towards debottlenecking and capacity expansion for all products at Mithapur plant. The Board of Rallis has approved a capex of Rs 800 crore towards expansion of formulation capacity and building technical and associated intermediary products manufacturing capacity for backward integration. The company signed Memorandum of Understanding with CSIRCECRI Karaikudi ISRO and CMET to strengthen lithium strategy. As on March 31 2020 the Company had 35 direct and indirect subsidiaries 4 in India and 31 overseas and 5 joint ventures. During the year the Company through its whollyowned subsidiary Valley Holdings Inc. acquired the remaining 25 partnership interest in Tata Chemicals Soda Ash Partners Holdings in the United States. With this acquisition the Company has increased its ownership to 100 on December 19 2019.The NCLT Mumbai Bench and NCLT Bengaluru Bench vide their Orders dated December 20 2019 and November 11 2019 respectively sanctioned the Scheme of Merger by absorption of Metahelix with Rallis and their respective shareholders. The certified copies of the Orders were filed with the jurisdictional Registrar of Companies and accordingly Metahelix a stepdown subsidiary of the Company has merged with Rallis India Limited and ceased to be a subsidiary of the Company effective February 1 2020. The NCLT Mumbai Bench on April 23 2020 sanctioned the Scheme of Merger by Absorption between the Company and Bio Energy Venture1 Mauritius Pvt. Ltd. Bio1 a wholly owned subsidiary of the Company Scheme with an Appointed Date of April 1 2019. The Scheme is subject to the approval of the regulatory authorities at Mauritius.NCLT Mumbai vide its Order dated February 20 2020 sanctioned the Scheme of Amalgamation of Zero Waste Agro Organics Limited with Rallis Scheme. The certified copy of the Order of NCLT sanctioning the Scheme is awaited. The Scheme will be made effective upon filing of the certified copy of the Order with the Registrar of Companies Maharashtra.The companys business continues to generate robust cash flows at Rs 1780 crore which supported the Capex to the tune of Rs 1199 crore during the year 201920.The Ministry of Home Affairs Government of India on March 24 2020 notified the first ever nationwide lockdown in India to contain the outbreak of Covid19. Towards the end of the quarter ended March 2020 the operations were disrupted at certain manufacturing facilities of the Company. Later from the mid of May 2020lockdown eases out in a phased manner and production started gradually.Consequent to making an application to the Registrar of Companies Maharashtra by Rallis Chemistry Exports Limited a whollyowned subsidiary of the Rallis India Limited RCEL for removal of its name from the register of companies MCA has issued a certificate for striking off its name from the register of companies w.e.f March 29 2021. Accordingly RCEL has ceased to be a subsidiary of Rallis effective the said date.During the year 202021 PT Metahelix Life Sciences Indonesia a subsidiary of Rallis received approval for the cancellation of its Company Registration Number and revocation of its business license w.e.f March 19 2021. Further an application for cancellation of its Tax Identification Number has been made and the approval for the same is awaited.The Board of Directors has recommended a final dividend of 100 2020 : 110 for the financial year 202021 Rs 10.00 per share 2020: Rs 11.00 per share.
OrganisationTata Chemicals Ltd