Thirumalai Chemicals Ltd updates on investment in subsidiary

At its Board Meeting on May 14, 2021, the Board of Thirumalai Chemicals Ltd, (TCL India) has approved the issue of a corporate guarantee to Bank(s), as security for loan(s) to its stepdown subsidiary, TCL Specialties LLC, USA (referred as TCLS USA below).

TCLS USA proposes to build a plant in the United States to produce Maleic Anhydride and Food Ingredients (Malic acid, Fumaric acid). This facility, located in the N.E. US will be an integrated plant, based on competitive Butane feedstock from the Marcellus & Utica gas basins in the region. The production from this plant is aimed at servicing the large markets in North America, Europe and Latin America. TCLS USA expects to start production by the late summer of 2023.

TCL India will license the technology, and provide various project services to TCLS USA for this project.

The Board of Thirumalai Chemicals Ltd has also agreed to increase its investment in the equity of its wholly-owned subsidiary TCL Global B.V. in Netherlands up from the earlier approved USD 20 million to USD 30 million.

Shares of THIRUMALAI CHEMICALS LTD. was last trading in BSE at Rs.103.65 as compared to the previous close of Rs. 102.05. The total number of shares traded during the day was 167848 in over 1943 trades.

The stock hit an intraday high of Rs. 106.6 and intraday low of 101.3. The net turnover during the day was Rs. 17509567.

Source : Equity Bulls

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