Prasol Chemicals, a leading integrated specialty chemicals manufacturer, has unveiled plans for a multi-year capacity expansion and debottlenecking programme as it gears up for a Rs. 500-crore initial public offering. The move comes amid rising demand across coatings, agrochemicals, lubricants, pharmaceuticals, mining, and construction chemicals.

The global chemicals market, valued at US$ 5.9 trillion in 2024, is expected to surge to nearly US$ 8.3 trillion by 2029, fueled by growth in manufacturing and consumption. Specialty chemicals, a segment in which Prasol operates, accounted for US$ 1.19 trillion in 2024 and are projected to expand at 8% annually to reach US$ 1.75 trillion by 2029.

Prasol, which specializes in acetone- and phosphorus-based chemistries—key inputs for high-performance applications—plans to scale production of diacetone alcohol, 3,5-xylenol, phosphorus pentasulphide, and other intermediates used in industrial coatings, disinfectants, lubricant additives, and agrochemical formulations. Its facilities in Khopoli and Mahad, Maharashtra, sit on more than 64,000 sq. m of unutilized land, offering ample room for growth.

The company is also focusing on debottlenecking to boost output without major greenfield investments. Over the past three years, Prasol has implemented efficiency initiatives improving energy usage, yields, and automation—foundations the company says will support its next phase of expansion.

With a portfolio of over 150 specialty chemicals, Prasol serves 1,107 customers across 69 countries. Its integrated manufacturing setup allows flexibility to switch between chemistries and applications, a capability the company expects to leverage to meet export commitments and expand domestic market share.

Financially, Prasol reported revenue of ₹1,012.49 crore in FY25, up 15.5% from FY24, while operating EBITDA jumped 44.9% to ₹87.76 crore, boosted by higher plant utilization and a stronger contribution from value-added products.

The company’s expansion and debottlenecking programme is designed to strengthen its manufacturing base, enhance production efficiency, and position Prasol to capitalize on growing global specialty chemical demand ahead of its IPO.