DCM Shriram Ltd., a leading diversified conglomerate with businesses across chemicals, vinyl, agri, and building materials, announced that its Board has approved the signing of a definitive agreement to acquire 100% stake in four companies engaged in the production of industrial salt for a total purchase consideration of Rs, 175 crore.

Two of these entities — Manek Salt Works and Shree Raj Salt & Chemical Works — are located in Dahej, (about 70 km from the Company’s Jhagadia (Bharuch) Chlor-Alkali complex), while Devjagan Salt Farm and Maruti Salt Farm are situated in Jambusar, approximately 110 km from the Jhagadia Complex.

Together, these salt works span over 1,077 acres and have a combined capacity of 2.1 lakh MT of washed industrial salt per annum, equivalent to around 13% of the Company’s annual salt requirement.

This acquisition will mark an important step toward backward integration, strengthening the raw material supply chain for DCM Shriram’s Chemicals Business — a key driver of the Company’s growth and profitability.

Commenting on the acquisitions, Ajay Shriram, Chairman & Senior Managing Director, and Vikram Shriram, Vice Chairman & Managing Director, said: “Salt is a critical raw material for our Chemicals Business, and this acquisition will address a long-standing strategic vulnerability in our supply chain.

“With rising demand for industrial salt across multiple end-use industries and increasing competition for coastal land from other sectors such as renewables, securing access to these salt works at Dahej and Jambusar will be a timely and forward-looking step.

“The acquisition will ensure raw material security, optimize logistics costs, and further strengthen our integrated chemical value chain.”