Sadhana Nitrochem Ltd. — M&A Activity 2024

Nov 8, 2024

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Date: November 08, 2024

To To BSE Limited National Stock Exchange of India Limited 1[st] Floor, P.J. Towers, Exchange plaza, C-1, Block G, Dalal Street, Mumbai — 400001 Bandra Kurla Complex, Bandra (E), Mumbai-400051, India Scrip Code: 506642 Symbol: SADHNANIQ

Subject: Press Release

Ref.: Intimation under SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015

Dear Sir/Madam,

This is to inform you that the Company is proposing to issue Press Release titled “Hon. NCLT Approves Sadhana Nitro Chem Ltd.’s Resolution Plan for acquisition of Calchem Industries (India) Ltd.” , a copy of which is enclosed.

Kindly take the above information on your records.

For SADHANA NITROCHEM LIMITED

ABHISHEK Digitally signed by ABHISHEK ASIT JAVERI ASIT JAVERI Date: 2024.11.08 18:00:36 +05'30'

Abhishek Asit Javeri Managing Director DIN: 00273030

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Press Release

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Hon. NCLT Approves Sadhana Nitro Chem Ltd.’s Resolution Plan for acquisition of Calchem Industries (India) Ltd.

Mumbai, 08 November 2024 : Sadhana Nitro Chem Ltd. ( BSE: 506642, NSE: SADHNANIQ, Bloomberg: SADHNANI:IN ), a prominent manufacturer specializing in intermediate specialty chemicals, is pleased to announce the approval of it’s resolution plan for a 100% acquisition of Calchem Industries (India) Limited (Calchem) by the Hon’ble National Company Law Tribunal (NCLT), Mumbai Bench, Court III. This acquisition, approved at a total consideration of Rs. 9.50 Crores, marks a significant step in SNCL's strategic growth plan. The acquisition will be completed by 27 January 2025.

Calchem’s facility, comprising of leasehold and freehold land covering approximately 14.5 acres (58,000 sq. meters) in MIDC Roha, Maharashtra, is located just 250 meters from SNCL’s existing plant. Established in 1992, Calchem had been engaged in the production of various chemicals with a combined installed capacity of approximately 78,000 TPA before ceasing operations under the Corporate Insolvency Resolution Process.

With this acquisition, SNCL will enhance its ability to meet rising market demand and aligns closely with its long-term growth objectives of forwarding integration into upstream products. As a result of its proximity to SNCL's existing operations, the newly acquired facility will allow SNCL to better integrate, streamline logistics, and share resources, supporting its future expansion plans and enhancing shareholder value.

Commenting on the acquisition, the management added,

" We are excited about this acquisition for SNCL, as it marks a key milestone in our growth. By incorporating Calchem's facility and land resource into our organization, we will be able to accelerate our expansion plans and strengthen our market position. Due to its proximity to our plant, we will be able to generate operational synergies that will benefit our shareholders. With the added infrastructure and resources, we are positioned to drive innovation, and improve efficiency. We look forward to utilizing this opportunity to enhance our service to our stakeholders and client.”

About Sadhana Nitro Chem Ltd.

Established in 1973, Sadhana Nitro Chem Ltd., stands as a prominent manufacturer specializing in intermediate specialty chemicals. Sadhana Nitro Chem Ltd. operates from its state-of-the-art manufacturing facility situated in the Roha spread over 22 acres including 17 acres of MIDC land. Sadhana Nitro Chem Ltd.’s Facility is the 2[nd] Plant in the world to manufacture PAP from Nitrobenzene, with the company receiving Approval from the Maharashtra Pollution Control Board (MPCB) for consent to establish. The company has been awarded from the PLI scheme for manufacturing 36000 TPA of PAP in 2021, with the current production run rate being upgraded on an ongoing basis and being scaled rapidly. PAP is used in the manufacturing of Paracetamol, amongst other prescription drugs. The company is a government-recognized 2-Star Golden Export House, with 80% of the company's sales being dedicated to exports to highly developed markets, such as Japan, China, Switzerland, the United States, Germany, other parts of Europe, South Korea and more. Sadhana Nitro Chem Ltd takes pride in its extensive client portfolio, which predominantly comprises multinational conglomerates such as L'Oreal, Bayer Crop Science, Huntsman Advanced Materials, Teijin, Mitsui Chemicals, IPCA, Ricoh Paper, Koehler Paper, and Mitsubishi Paper, among others. The company's versatile product line finds applications spanning various industries, including Agro Chemicals, Aramide Fibre, Pharmaceuticals, Developers, Hair Colors, Dyes, Specialized Resins, Performance Chemicals, Optical Brightening Agents, Rubber Chemicals, Aerospace, Electronic Chemicals, Military Applications, Thermal Paper Intermediates, and more. The company is committed to quality and social responsibility, holding ISO certifications for ISO 9001:2008, ISO 14001:2004, OHSAS 18001:2007, and SA (8000). Sadhana Nitro Chem Ltd is listed on both BSE: 506642 and

Sadhana Nitro Chem Limited

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NSE: SADHNANIQ, and has celebrated its 50[th] year as a publicly listed company.

Investor Relations Advisor: Brijesh K. Impress Strategic Communications Private Limited Email: sadhananitro@impressir.com

Disclaimer:

Certain statements in this release concerning our future growth prospects are forward-looking statements, which involve a number of risks and uncertainties that could cause actual results to differ materially from those in such forward-looking statements. The risks and uncertainties relating to these statements include, but are not limited to, risks and uncertainties regarding the success of our investments, risks and uncertainties regarding fluctuations in earnings, our ability to manage growth, our ability to successfully implement our strategy, our research and development efforts, changes in the value of the Rupee and other currency changes, intense competition in the industry including those factors which may affect our cost advantage, wage increases in India, our ability to attract and retain highly skilled professionals, time and cost overruns on fixed-price, fixed-time frame contracts, client concentration, restrictions on immigration, industry segment concentration, our ability to manage our international operations, reduced demand for technology in our key focus areas, disruptions in telecommunication networks or system failures, our ability to successfully complete and integrate potential acquisitions, liability for damages on our service contracts, withdrawal of governmental fiscal incentives, political instability and regional conflicts, legal restrictions on raising capital or acquiring companies outside India, and unauthorized use of our intellectual property and general economic conditions affecting our industry. Sadhana Nitro Chem Limited may, from time to time, make additional written and oral forward-looking statements, including statements contained in the company’s filings with the Securities and Exchange Board of India, Stock Exchange and our reports to shareholders. The company does not undertake to update any forward-looking statements that may be made from time to time by or on behalf of the company.

Sadhana Nitro Chem Limited