Key Event

Fine Organic Industries Limited executed Share Transfer Agreements (STAs) on September 2, 2026 with existing shareholders of Oleofine Organics SDN. BHD. to acquire 80% equity stake in the Malaysian company.

Target Company Details

  • Name: Oleofine Organics SDN. BHD. (OFM)
  • Incorporation: August 19, 1988 in Malaysia
  • Business: Specialty chemicals
  • Paid-up Share Capital: 10,00,000 Malaysian Ringgit (RM) divided into 10,00,000 Equity Shares of RM 1 each
  • Net Worth (as at January 31, 2026): RM 3,42,45,075 (equivalent to INR 79.65 crores)

Financial Performance of Target Company

  • FY26 (ended Jan 31, 2026): Turnover RM 23,287,742 (equivalent to INR 54.17 crores)
  • FY25 (ended Jan 31, 2025): Turnover RM 2,29,25,390 (equivalent to INR 45.19 crores)
  • FY24 (ended Jan 31, 2024): Turnover RM 2,76,15,137 (equivalent to INR 48.55 crores)

Transaction Details

  • Percentage Acquired: 80% equity stake
  • Breakdown: 50% acquired from Smoothex Chemicals Private Limited (related party), 30% acquired from other unrelated existing shareholders
  • Cost of Acquisition: Aggregate cost up to RM 3,42,08,000 (equivalent to approximately INR 80.28 crores based on exchange rate prevailing on transaction date) plus applicable transaction costs
  • Consideration: Cash
  • Timeline: Completion shall take place upon fulfilment of conditions precedent in accordance with STAs terms

Related Party Aspects

  • The transaction constitutes a related party transaction to the extent of shares acquired from Smoothex Chemicals Private Limited
  • Smoothex is a Promoter Group entity of Fine Organic Industries Limited and an existing shareholder of OFM
  • Mr. Mukesh Shah (Whole Time Director and Chairman) and Mr. Jayen Shah (Managing Director) of Fine Organic are Directors and Members of Smoothex
  • Mr. Tushar Shah (Whole Time Director and CEO) of Fine Organic is a Member of Smoothex
  • The transaction will be carried out on an arm's length basis

Strategic Rationale

  • The transaction aligns with the Company's growth strategy
  • OFM's business is within the main business line of Fine Organic Industries Limited

Regulatory Approvals

  • No governmental or regulatory approvals required for the acquisition

Additional Information

  • Disclosure made pursuant to SEBI Master Circular No. HO/49/14/14(7)2025-CFD-POD2/I/3762/2026 dated January 30, 2026
  • Information also available on company website: https://www.fineorganics.com/
  • Signed by Pooja Lohor, Company Secretary and Compliance Officer (Membership No. A28397)

Exchange rates used for conversions are as of the closing of the relevant financial year of OFM

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