Mangalore Chemicals & Fertilizers Rises 1.57% After NCLT Approval for Merger with Paradeep Phosphates

Mangalore, October 8, 2025: Shares of Mangalore Chemicals & Fertilizers Ltd (NSE: MANGCHEFER, BSE: 530011) gained 1.57%, reaching ₹334 by 12:21 PM IST on Wednesday, following the company’s announcement that its board has taken on record the NCLT Bengaluru Bench order sanctioning the composite scheme of arrangement with Paradeep Phosphates Ltd.

The scheme entails a merger transaction between Mangalore Chemicals & Fertilizers (MCF) and Paradeep Phosphates (PPL), as well as their shareholders and creditors. It was confirmed that the NCLT Cuttack Bench had also approved the sanction order, and the scheme will be operational upon the filing of certified copies with the respective Registrars of Companies in Bengaluru and Cuttack. The board meeting that approved the development occurred on October 7, 2025, from 4:00 PM to 4:16 PM IST, under the chairmanship of the directors of the company.

Incorporated in 1966 and listed on October 22, 2007, Mangalore Chemicals & Fertilizers Ltd is a fertilizer production business, making urea, soil conditioners, and micronutrients. The market’s positive response reflects investor optimism over the merger’s potential to unlock long-term value and strengthen both companies’ positions in India’s fertilizer sector.

Share Price Update

Mangalore Chemicals & Fertilisers opened the day at ₹329.50, with intraday trading ranging between ₹327.20 and ₹338.00. The company has a market capitalization of ₹3,970 crore and a P/E ratio of 24.56, reflecting investor expectations of stable earnings growth. The dividend yield stands at 0.45%, with the last quarterly dividend declared at ₹0.38 per share. Over the past 52 weeks, the stock has recorded a high of ₹373.15 and a low of ₹121.20.

Merger Details

The Composite Scheme of Arrangement consolidates MCF and Paradeep Phosphates, uniting their fertilizer production, marketing, and distribution businesses. Upon becoming operational, the merger is expected to form a robust, consolidated fertilizer major with enhanced operational synergies.

The scheme will be introduced on:

• Filing the certified order passed by NCLT Bengaluru by MCF with RoC Bengaluru.
• Submission of the certified order of the NCLT, Cuttack, by Paradeep Phosphates to RoC, Cuttack.

REF: https://nsearchives.nseindia.com/corporate/MANGCHEFER_07102025163056_OutcomeoftheBoardmeeting07102025DSC.pdf

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