Deepak Fertilizers and Petrochemicals Corporation Limited — Important, 23-04-2025: Agreements

Deepak Fertilisers and Petrochemicals Corporation Limited has executed an Option Agreement involving its subsidiary, Deepak Mining Solutions Limited (DMSL), which is set to issue Compulsorily Convertible Debentures (CCDs) valued at ₹800 Crore to Tata Capital Limited and SCM Growth LLP. The funds are earmarked for long-term resource augmentation, acquisitions, capital expenditure, and general corporate purposes.

The agreement includes provisions for put and call options, allowing investors certain rights under specified circumstances. Notably, SCM Growth LLP is closely related to the company’s promoters, indicating a related party transaction that has been conducted at arm’s length. Investors are expected to rely on this strategic move for stable returns, further enhancing DMSL's financial position and operational flexibility. This development could positively influence investor sentiment, encouraging a watchful outlook on the company’s promising growth trajectory.