Tata Group Company Announces Acquisition of Singaporean Company
Tata Chemicals Limited, a Tata Group company, announced after the stock market closed on Friday that its wholly-owned subsidiary, Tata Chemicals International Pte. Limited (TCIPL), has signed a Share Purchase Agreement (SPA) to acquire 100% equity stake in Singapore-based Novabay Pte. Limited. The acquisition is valued at approximately EUR 25 million. However, the completion of the deal is subject to the fulfillment of certain conditions stipulated in the SPA.
Novabay is a manufacturer of premium-grade sodium bicarbonate and is among the largest companies in the Asia-Pacific region (excluding China). The company produces specialty grades for high-value sectors such as pharmaceuticals, personal care, and food. Novabay holds necessary certifications, including cGMP and API, and its fully automated manufacturing facility is a key strength.
What will Tata Chemicals gain?
Commenting on the acquisition, the Managing Director and CEO of Tata Chemicals said that Novabay’s focus on premium-grade sodium bicarbonate aligns perfectly with Tata Chemicals’ strategy to expand into high-value and non-cyclical product segments. He added that this acquisition will strengthen the company’s capabilities in the specialty bicarbonate market and help it better serve the needs of premium customers.
Currently, Novabay has a production capacity of approximately 60,000 tons, which can be expanded to 100,000 tons in the future. Tata Chemicals believes that this acquisition will strengthen its global presence and open up new growth opportunities.
