Tata Chemicals has reportedly announced that Tata Chemicals (Soda Ash) Partners, its subsidiary, has served notice to withdraw agreements from 31st December 2022. These agreements were inked between the Indian chemicals company and ANSAC (American Natural Soda Ash Corporation).
Tata Chemicals (Soda Ash) Partners has been functioning as a member of American Natural Soda Ash Corp. The company will continuously fulfill all the obligations till the termination date. These include using ANSAC as an exclusive export sales outlet for soda ash produced in the U.S. and sold to all its territories.
In a BSE filing, Tata Chemicals has reportedly cited that it will focus on developing a world-class and integrated global sales organization that is customer-centric, with an aim to serve the diverse needs of customers from various locations in the U.S., Kenya, the UK, and India.
For the record, Tata Chemicals’ shares recorded a hike of 2.05% at ₹489.60 ($6.70). In the last year, the company’s stock gained 67.63%. On the other hand, the benchmark S&P BSE Sensex added 16.10% in the same year. Furthermore, in the previous week, a domestic brokerage has reportedly recommended hold rating on the company at the target price of ₹490 ($6.70).
Tata Chemicals is an Indian global company that has interests in specialty chemistry and basic chemistry products. The company is presently functioning as the 3rd largest soda ash producer across the globe, with manufacturing plants in North America, Africa, Europe, and Asia. Additionally, it has maintained a robust footprint in the crop protection business via Rallis India, its subsidiary company.
The net profit of the chemicals company, on a consolidated basis, declined 64% to ₹132.09 crore ($18.1 million), with a 5.8% reduction in the net sales to ₹2,609.35 crore ($356.9 million) in Q2 September 2020, as compared to a year earlier.