Deepak Nitrite has invested ₹35 crore in its wholly-owned subsidiary, Deepak Chem Tech Limited (DCTL), through the subscription of 3,500,000 Optionally Convertible Redeemable Preference Shares (OCRPS) at ₹100 each. Deepak Phenolics Limited (DPL), another wholly-owned subsidiary, made the investment. This infusion aims to strengthen DCTL’s capital base and support its ongoing projects.
Investment Overview
Deepak Nitrite has announced an investment of ₹35 crore into Deepak Chem Tech Limited (DCTL), a wholly-owned subsidiary. This investment was executed through Deepak Phenolics Limited (DPL), which is also a wholly-owned subsidiary of Deepak Nitrite.
Details of Investment
The investment involves the subscription of 3,500,000 Optionally Convertible Redeemable Preference Shares (OCRPS) of DCTL, each with a face value of ₹100. This brings the total investment to ₹35 crore. This move is intended to reinforce DCTL’s financial standing and support its project initiatives.
Purpose of the Investment
The funds are earmarked to boost DCTL’s capital and to facilitate its ongoing and future project expenses. The business operations of DCTL align with the main line of business of the listed entity, Deepak Nitrite. DCTL is currently operating a state-of-the-art Fluorination plant and is actively involved in various projects in Gujarat. The turnover of DCTL for FY 2024-25 was ₹9.43 Crores.
DCTL’s Financials
Prior to this allotment, the paid-up capital of DCTL was ₹1771.50 Crores, consisting of ₹499.50 Crores in Equity Shares and ₹1272 Crores in Preference Shares.
Source: BSE
