Rs 2,362 Cr Deal Locked After 1:2 Stock Split! Chemical Stock Signs 7-Year Contract With Japanese Giant

Tanfac Industries Limited and a Japanese customer have signed a long-term supply agreement for fluorinated chemicals. With an anticipated annual value of Rs 337.5 crore and a total contract value of around Rs 2,362 crore over a seven-year term, the deal includes the supply of 7,500 metric tons annually.

Rs 2 362 Cr Deal Locked After 1 2 Stock Split  Chemical Stock Signs 7-Year Contract With Japanese Giant

The deal offers long-term revenue visibility backed by agreed upon volumes and will take effect on January 1, 2027. The company's domestic and export portfolio is strengthened by this deal, which also improves earnings predictability and solidifies the company's standing as a dependable supplier in the worldwide market for fluorinated chemicals.

Mr Afzal Malkani, Managing Director, said: "This contract represents a significant step in deepening our engagement with global customers and reflects the confidence placed in our manufacturing capabilities and quality standards. The long term structure of the agreement provides revenue stability, representing 37.5% of the recently announced fluorinated chemical plant capacity and aligns with our strategy of expanding a value-added downstream fluorinated chemicals portfolio and building durable relationships with global customers."

The aforementioned deal announcement followed the Board of Directors of the company's recent Board Meeting on January 09, 2026, during which they considered and approved the subdivision of the company's equity shares. Specifically, one equity share with a face value of Rs. 10/-each would be divided into two equity shares with a face value of Rs. 5/- each, subject to shareholder and statutory and regulatory approval.

After obtaining the aforementioned permission from the company's shareholders, the record date for the 1:2 subdivision of equity shares or stock split will be determined and announced in due course. The goal of the proposed stock split is to increase the liquidity of the company's equity shares and to attract small investors by making equity shares of the company more affordable to invest in the equity shares of the company.

Tanfac Industries Limited (BSE: 506854, ISIN: INE639B01015) recently discloses that the Board of Directors approved the construction of a new downstream fluorinated chemicals manufacturing facility with an installed capacity of 20,000 tonnes annually at the company's current Cuddalore manufacturing location on January 9, 2026. The project is anticipated to be completed by November 2026 and would require a total expenditure of about Rs 495 crore.

The Board authorized the downstream expansion as well as the funding of up to Rs 500 crore through equity shares through qualified institutional placement or other approved methods, subject to regulatory and shareholder clearance.

Anupam Rasayan India Limited and Tamil Nadu Industrial Development Corporation are the promoters of Tanfac Industries Limited, a joint sector company. The company runs its manufacturing facilities in SIPCOT Industrial Estate in Cuddalore and is involved in the production of hydrofluoric acid and its derivatives. March 1985 saw the start of commercial manufacturing. The company is accredited under ISO 9001, ISO 14001, and OHSAS 18001 standards and adheres to globally recognized safety measures.

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