GHCL Limited Buyback 2025

Core Business Leadership

GHCL, incorporated in 1983, operates one of India’s largest soda-ash manufacturing facilities located at Sutrapada, Gujarat — boasting an annual capacity of around 1.2 million tonnes, accounting for roughly 25% of India’s domestic soda-ash demand. This gives it a clear leadership position in the chemicals-basic infrastructure sector in India.

Product Portfolio & Applications

The company’s chemical division produces both Light and Dense grades of soda ash (anhydrous sodium carbonate) and sodium bicarbonate (food-, feed- and technical-grade).These inputs are critical for industries such as glass manufacture, detergents, pulp & paper, water treatment, ceramics, and increasingly in solar-glass and battery manufacturing.

Consumer Product and Salt Business

Beyond its core chemicals business, GHCL markets edible and industrial salt under brands such as i-FLO and Sapan, thereby diversifying into the consumer products segment. This expands its reach into mass consumption and provides a hedge to purely industrial cycles.

Geographic & Industrial Footprint

With its soda-ash manufacturing base in Gujarat, GHCL benefits from access to captive raw material (limestone, lignite) and proximity to major industrial markets in India and for export. It serves a wide industry base – glass, detergents, textiles, chemicals – and exports globally, enhancing its reach and diversification of revenue.

Growth & Expansion Plans

GHCL has received environmental clearance for a Green-Field soda-ash project in Kutch, Gujarat — a 1.1 MMTPA capacity addition at a capex of about ₹6,500 crore enabling it to roughly double its production capability over the next five-six years. This strategic expansion positions GHCL to leverage increasing domestic demand and import substitution opportunities.

Buy Back Offer Deal:

Buyback Type: Tender Offer
Buyback Record Date: Nov 14 2025
Buyback Offer Amount: ₹ 300 Cr.
Date of Board Meeting approving the proposal: Nov 01 2025
Date of Public Announcement: Nov 01 2025
Buyback Offer Size: 4.32%
Buyback Number of Shares: 41,37,931
FV: 10
Buyback Price: ₹ 725 Per Equity Share

Details of Buyback:

The proposal to buyback not exceeding 41,37,931 (Forty One Lakh Thirty Seven Thousand Nine Hundred Thirty-One) equity shares of the Company (representing 4.32% of the total number of equity shares in the paid up share capital of the Company) at a price of  Rs. 725/- (Rupees Seven Hundred Twenty-Five only) per equity share payable in cash for an aggregate consideration not exceeding Rs. 300,00,00,000 (Rupees Three Hundred Crore only).

Salient financial parameters:

Particulars (In cr) Mar 2021 Mar 2022 Mar 2023 Mar 2024 Mar 2025
Sales + 2,491 3,052 4,551 3,447 3,183
Expenses + 1,886 2,322 3,048 2,596 2,306
Operating Profit 605 730 1,503 851 877
OPM % 24% 24% 33% 25% 28%
Other Income + 18 211 119 270 88
Interest 74 51 39 27 17
Depreciation 111 87 94 102 112
Profit before tax 437 802 1,489 991 836
Tax % 25% 19% 23% 20% 25%
Net Profit + 326 650 1,142 794 624
EPS in Rs 34.33 68.14 119.41 82.94 65.18
Dividend Payout % 16% 22% 15% 14% 18%

How to Participate in buyback?

1. Firstly, to be eligible for the buyback the investor should have shares GHCL Limited in Demat or physical form as on the record date [To be updated]. 2. Once you have shares in Demat, you can participate in the buyback process which is opening from [To be updated] by selling your shares through your broker on NSE or BSE 3. Then on [To be updated], the payment will be given to you for accepted shares and unaccepted shares will be returned to your Demat account.

Profit from the buyback on the bases of acceptance Ratio:

Buy 276 Shares at CPM of Rs. 621 (2,00,000/725)
Acceptance Ratio 33% 50% 75% 100%
Amount Invested in Buyback 171396 171396 171396 171396
No. of Shares Buyback 91 138 207 276
Buyback Profit 9464 14352 21528 28704
Profit% 5.52% 8.37% 12.56% 16.75%

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