Shares in Tata Chemicals surged to hit a 52-week high after the company announced the sale of its urea business to Yara for Rs 2670 Crore.

Tata Chemicals will continue to own the brands Paras, TKS and Daksha. "This transaction does not include specialty products and complex fertilisers," the company said in the BSE filing.

The divestment of the Urea Business by Tata Chemicals will unlock value for the Company, strengthen its Balance Sheet and will help to pursue growth potentials and opportunities in line with its strategic directions.

The Urea Business along with the assets, liabilities, contracts, deeds etc., shall be transferred and vested with Yara India pursuant to the Scheme becoming effective on a slump sale basis, the company said.

The lump sum consideration for the transfer of the Urea Business by way of a slump sale pursuant to the Scheme is Rs 2670 crore, subject to certain adjustments after closing, as agreed between the parties in terms of the definitive agreements and the Scheme, added further.

Shares of Tata Chemicals were seen trading at Rs 495, higher by 6.91 per cent on BSE at 1.00 pm IST. It touched an intra-day high and 52-week high of Rs 502.85 during trade.

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