Tata Chemicals North America Acquires 0.5M Ton Soda Ash Contracts for $21.16M

Tata Chemicals Limited (TCL) announced that its wholly-owned subsidiary, Tata Chemicals North America Inc. ("TCNA"), has been declared the successful bidder in the Chapter 11 bankruptcy proceedings of Searles Valley Minerals Inc. ("SVM"), USA. This acquisition pertains to North American soda ash customer contracts of SVM, representing over half a million metric tons of customer orders through December 2028.

This strategic move is expected to strengthen TCNA's customer portfolio by securing domestic North American customers, thereby enhancing its ability to build long-term customer relationships, improve customer retention, and support long-term value creation. TCNA has entered into an Assignment and Assumption Agreement (ASA) with SVM for the acquisition of these specified soda ash customer contracts.

The transaction, which includes the assignment of customer contracts and related commercial rights, is subject to the satisfaction of customary closing conditions and other terms outlined in the ASA. The United States Bankruptcy Court for the District of Delaware has approved the assignment and assumption of these contracts from SVM to TCNA. The acquired customer contracts are expected to be serviced from September 2026 through December 2028, with an aggregate cash consideration of USD 21.16 million (approximately ₹176 crore).

Neither the promoter nor the promoter group/group companies of TCL have any interest in SVM or the acquired customer contracts. The transaction does not constitute a related party transaction.