Tata Chemicals Subsidiary to Acquire Singapore-Based Novabay
Tata Chemicals Limited's Singapore subsidiary is set to acquire 100% of Singapore-based Novabay for an enterprise value of €25 million. This strategic acquisition, expected to close by March 2026, aims to expand Tata Chemicals' presence in high-value, non-cyclical product segments. Funded entirely by cash, the deal aligns with the group's strategy to scale up its portfolio, leveraging Novabay's expertise in premium-grade sodium bicarbonate to accelerate growth and stakeholder value.
Tata Chemicals Limited has announced that its Singapore-based subsidiary, Tata Chemicals International Pte. Limited (TCIPL), will acquire 100% of Novabay, a Singapore-based company, for an enterprise value of €25 million (approximately S$37.8 million). This acquisition represents a significant strategic move for Tata Chemicals, aimed at bolstering its presence in high-value, non-cyclical product segments. The transaction, formalized through a share purchase agreement, is anticipated to be completed by March 2026, pending customary regulatory approvals and fulfillment of various closing conditions. Currently, Novabay operates as a wholly owned subsidiary of France-based Novacarb.The acquisition will be entirely cash-funded by Tata Chemicals, with the final consideration potentially subject to standard adjustments for net debt, working capital, and other closing items. Upon completion, Novabay will become a direct subsidiary of TCIPL and an indirect subsidiary of Tata Chemicals. R. Mukundan, Managing Director and CEO of Tata Chemicals, emphasized that Novabay’s specialization in premium-grade sodium bicarbonate perfectly aligns with the group’s overarching strategy to expand its portfolio in non-cyclical, high-value sectors. This strategic alignment is expected to significantly accelerate Tata Chemicals’ long-term growth trajectory and enhance value creation for all stakeholders involved.
