Agro Phos India Limited — Important, 16-07-2025: Disclosure of material issue

**Agro Phos Acquires Bharat Phosphates: Strategic Move for Growth**

**The Issue/Event:** Agro Phos India has approved the acquisition of the entire business undertaking of Bharat Phosphates & Chemicals Pvt Ltd. This includes all assets and certain liabilities.

**Possible Impact:** Agro Phos will pay up to ₹3 crore in cash for the acquisition. Interestingly, the target company, incorporated in 2011, has reported NIL turnover for the last three financial years. However, it possesses an SSP (Single Super Phosphate) plant. This implies Agro Phos is acquiring assets for future use, rather than an active revenue-generating business. The target's authorized and paid-up capital is ₹1 crore each. Post-acquisition, Bharat Phosphates will become a wholly-owned subsidiary.

**Company’s Response/Mitigation Plan:** The company states this acquisition is aimed at leveraging Bharat Phosphates' existing assets, specifically its SSP plant, to support Agro Phos's strategic growth. The acquisition, approved at a recent board meeting following the Audit Committee's review, is expected to be completed in one or more tranches during FY 2025-26. This looks like a strategic asset play to expand production capacity.

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