December 20, 2024
New Delhi, India
BASF India Shares
Shares of BASF India climbed nearly 9% in intraday trading on December 20, following the company’s announcement to demerge its agricultural solutions business into a separate listed entity.
Stock Performance Highlights
- Intraday High: ₹5,944.30 (up 8.9%) on the BSE.
- Opening Price: ₹5,780.05, compared to the previous close of ₹5,460.10.
- Current Trade: Around 11:45 AM, the stock was trading at ₹5,769.55, up 5.67%.
The stock has delivered a stellar 78% year-to-date (YTD) gain, touching a 52-week high of ₹8,748.10 in October. However, it faced profit booking in November and December, dropping 21% and 4%, respectively.
Also Read: General Insurance Corporation of India Surges 11%, Hits Record High on Heavy Volumes
Demerger Details
BASF India announced the decision to spin off its agricultural solutions business into a separate listed entity to enhance operational flexibility and create value. The segment accounted for ₹2,006.46 crore, or 14.57% of the company’s FY24 revenues.
- Global Strategy Alignment: This move aligns with BASF SE’s global restructuring plan to legally and operationally separate the agricultural solutions business by 2027.
- Potential IPO: BASF SE is exploring an IPO or minority share listing for its global agricultural segment.
Also Read: Bumper IPO Listing: Hamps Bio Shares Make a Stellar Debut on BSE SME
Financial and Business Outlook
- Market Capitalization: ₹25,000 crore.
- Q2 FY25 Performance: 15% sales growth, driven by volume increases.
- Agrochemical Segment: Recorded ₹1,400 crore in sales in H1 FY25, growing 10% YoY.
- Long-Term Growth: BASF India is optimistic about domestic consumption trends and young demographics fueling its growth.
Global Context
The demerger and restructuring efforts come as BASF SE navigates high energy costs post the Russia-Ukraine conflict and focuses on strengthening its core businesses in chemicals, industrials, and nutrition.
BASF India Shares were trading at 5,680.00INR up +219.55+4.02% by 2:32 Pm IST
Breaking News: Rupee Hits Record Low of ₹85 Against US Dollar
Disclaimer:
CurrencyVeda provides this news article for informational purposes only. We do not offer investment advice or recommendations. Before making any investment decisions, please conduct thorough research, consult with financial experts, and carefully consider your financial situation, risk tolerance, and investment goals. Investing in the stock market carries risks, and it’s essential to make informed choices based on your individual circumstances. CurrencyVeda is not liable for any actions taken based on the information provided in this article.
