Himadri Speciality Chemical Plans Rs 4,800 Crore Lithium-ion Battery Facility, Hits 52-Week High

6 Dec 2023 , 01:11 PM

Himadri Speciality Chemical’s share price climbs 4% to reach a 52-week high of Rs 307.10 after board approval for a Lithium-ion Battery (LiB) components manufacturing facility. At the time of writing, the stock quotes at Rs 301.00, up by Rs 10.50 or 3.23% on the BSE.

The board, in a meeting on December 5, 2023, greenlights the establishment of the LiB components manufacturing facility with a total annual capacity of 200,000 MT.

The estimated project cost is Rs 4,800 crores, to be invested in phases over 5 to 6 years, primarily funded by internal accruals and additional debt.

Approval granted for the acquisition of 100% shareholding in Himadri Future Material Technology Limited by Himadri Clean Energy Limited (HCEL), a company subsidiary. Himadri Future Material Technology Limited to become a wholly owned subsidiary of HCEL and a step-down wholly owned subsidiary of the company through the acquisition.

The acquisition facilitates the setup of a manufacturing facility for Cathode Active Material through Step down WOS (Wholly Owned Subsidiary). Anticipated completion of the acquisition within 60 days from the signing of SPA (Share Purchase Agreement) or mutually agreed date between the parties.

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