Sadhana Nitro Chem Ltd., a prominent manufacturer specializing in intermediate specialty chemicals, has announced announce the approval of it’s resolution plan for a 100% acquisition of Calchem Industries (India) Limited (Calchem) by National Company Law Tribunal (NCLT), Mumbai Bench, Court III.

This acquisition, approved at a total consideration of Rs. 9.50 crores, marks a significant step in SNCL's strategic growth plan. The acquisition will be completed by 27 January 2025.

Calchem’s facility, comprising of leasehold and freehold land covering approximately 14.5 acres (58,000 sq. meters) in MIDC Roha, Maharashtra, is located just 250 meters from SNCL’s existing plant.

Established in 1992, Calchem had been engaged in the production of various chemicals with a combined installed capacity of approximately 78,000 TPA before ceasing operations under the Corporate Insolvency Resolution Process.

With this acquisition, SNCL will enhance its ability to meet rising market demand and aligns closely with its long-term growth objectives of forwarding integration into upstream products. As a result of its proximity to SNCL's existing operations, the newly acquired facility will allow SNCL to better integrate, streamline logistics, and share resources, supporting its future expansion plans and enhancing shareholder value.

Commenting on the acquisition, the management added, “We are excited about this acquisition for SNCL, as it marks a key milestone in our growth. By incorporating Calchem's facility and land resource into our organization, we will be able to accelerate our expansion plans and strengthen our market position. Due to its proximity to our plant, we will be able to generate operational synergies that will benefit our shareholders. With the added infrastructure and resources, we are positioned to drive innovation, and improve efficiency. We look forward to utilizing this opportunity to enhance our service to our stakeholders and client.”