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Tata Chemicals buys Unnati Inorganics' precipitated silica operation

This specialty chemical product represents a downward value addition to TCL's soda ash business

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Last Updated : May 11 2017 | 2:52 PM IST

Tata Chemicals Limited (TCL) has acquired the precipitated silica operation of Unnati Inorganics Private Limited (UIPL), on a slump sale basis, for a consideration of Rs 34.20 crore. This includes an existing manufacturing site at Dahej (Gujarat), which will produce highly dispersible silica (HDS) after capability augmentation. This acquisition is a part of the Rs 295 crore investment approved by the board of Tata Chemicals earlier in February 2017, for its precipitated highly dispersible silica business.

This specialty chemical product represents a downward value addition to TCL’s soda ash business, where it ranks among the top manufacturers globally. Precipitated silica is a versatile product with applications in many industries including rubber, coatings, pesticides and oral care.

The technology for manufacturing HDS at Dahej facility has been developed at TCL’s Innovation Centre in Pune, for which eight patents have already been filed. “This acquisition is another step in TCL’s journey to build technologically enabled, differentiated businesses, with greater customer centricity, by leveraging its core strengths,” said TCL in a NSE filing yesterday.