February 5, 2025 | Mumbai, India
Vinati Organics Limited (BSE: 524200, NSE: VINATIORGA) has announced an additional investment in its wholly-owned subsidiary, Veeral Organics Private Limited (VOPL), through a rights issue. The company has subscribed to 4,88,10,200 fully paid-up equity shares of VOPL at a face value of ₹10 per share, amounting to ₹48.81 crore.Key Investment Details
| Aspect | Details |
|---|---|
| Subsidiary Name | Veeral Organics Private Limited (VOPL) |
| Industry | Chemical Industry |
| Transaction Type | Rights Issue Subscription |
| Shares Acquired | 4,88,10,200 equity shares |
| Face Value per Share | ₹10 |
| Total Investment | ₹48.81 crore |
| Nature of Consideration | Cash |
| Post-Transaction Ownership | 100% (No change in control) |
Strategic Rationale
Veeral Organics Private Limited is engaged in the manufacturing of organic fine specialty chemicals, aligning with Vinati Organics' core business. The additional investment aims to strengthen the subsidiary’s financial position and facilitate its operational growth.Since VOPL is already a wholly-owned subsidiary, the transaction does not qualify as a related party transaction under SEBI (LODR) Regulations, 2015. Furthermore, no regulatory approvals were required for the acquisition.
Company Statement
Vinati Organics has confirmed that the investment ensures VOPL continues to be a fully owned entity of the company, allowing seamless integration and expansion within the specialty chemicals sector.This move underscores Vinati Organics' commitment to enhancing its footprint in the specialty chemicals market while reinforcing its subsidiary’s capabilities for future growth.