By BullScreen Editorial Team 
Indo Borax & Chemicals shares surged 13.16% on Thursday after the company announced a proposed acquisition of a 64.26% controlling stake in Kronox Lab Sciences, a manufacturer of high-purity speciality fine chemicals.
The Indo Borax share price climbed to an intraday high of ₹495 from the previous close of ₹433.85. The stock was trading at ₹491.55, while the company’s market capitalisation stood at around ₹1,577 crore.
Under the proposed transaction, Indo Borax will acquire 2.38 crore Kronox shares from its promoters for ₹246.12 crore, at ₹103.22 per share. The deal also triggers a mandatory open offer for up to 95.7 lakh shares, representing 25.79% of Kronox, at ₹157.27 per share.
If the open offer is fully accepted, the additional outlay could be around ₹150 crore, taking the total potential cash requirement to nearly ₹397 crore. Notably, the open-offer price is about 52% higher than the promoter acquisition price.
Kronox reported FY26 revenue of ₹101.22 crore, broadly stable from ₹100.19 crore in FY25. However, its Q1 FY27 revenue rose 17% year-on-year to ₹28.39 crore, while net profit increased 16% to ₹7.30 crore.
At the SPA valuation, Kronox’s implied equity value is around ₹383 crore, or nearly 3.8 times FY26 revenue. The acquisition will diversify Indo Borax into speciality chemicals, with investors likely to focus on Indo Borax shares, Kronox Lab Sciences acquisition, ₹246 crore deal, open offer price, and chemical stocks.
The transaction is more relevant to the speciality chemical industry than the AI industry. Its success will depend on Kronox’s ability to scale revenue and earnings and on Indo Borax’s capital efficiency after the acquisition.