In Conversation with Anand Desai, Managing Director – Anupam Rasayan India Limited

Q1. FY26 was a landmark year, with consolidated revenue growing 65 per cent YoY to Rs 2,384 crore and operating cash flow improving to Rs 334 crore. As the business enters the next phase after completing its major capex cycle, what will be the key drivers that determine whether this growth remains sustainable over the next three to five years?

FY26 was a defining year for Anupam Rasayan, reflecting not only our strongest financial performance but also the successful execution of a long-term strategy. Over the last few years, we have expanded our manufacturing capabilities, strengthened our fluorination chemistry franchise and diversified into high-value specialty chemical segments.

As we enter the next phase, our focus is on maximising the value of these investments through commercialisation of recently commissioned capacities, scaling up commercial molecules, introducing new products and executing long-term contracts with global customers. Strategic initiatives such as the Jayhawk acquisition, the proposed acquisition of Bliss GVS, and our investments in electronic chemicals, Semiconductors, battery materials and continuous flow chemistry further strengthen our long-term growth prospects. While Jayhawk expands our advanced custom synthesis capabilities and global manufacturing footprint, the proposed acquisition of Bliss GVS Pharma will strengthen our pharmaceutical value chain and create new opportunities in CDMO and regulated markets. Collectively, these initiatives provide a strong foundation for sustaining profitable long-term growth.

Q2. Over the last few years, your revenue mix has become significantly more diversified, with agrochemicals reducing to 55 per cent of standalone revenue while pharma and performance materials have grown meaningfully. How do you see the portfolio evolving over the next few years, and what strategic advantages does a more balanced business mix provide during industry cycles?

One of the most significant transformations at Anupam Rasayan has been the evolution of our business portfolio. Over the last few years, we have consciously diversified beyond agrochemicals into pharmaceuticals, personal care, performance materials, including semiconductor-related applications, and EV materials. This transformation is reflected in our revenue mix, with the contribution from pharmaceuticals increasing from 2 per cent to 18 per cent and performance materials from 10 per cent to 20 per cent over the last few years.

While agrochemicals continue to remain an important pillar of our business, we have steadily diversified our presence in these high-value segments through innovation, complex chemistries and long-term customer partnerships. This balanced portfolio provides better demand visibility and greater resilience across business cycles while enabling us to participate in multiple structural growth opportunities. As these businesses continue to scale, we expect them to further strengthen the quality of our revenues and deepen our engagement with multinational customers.

Q3. The company has transformed itself from a specialty chemicals manufacturer into an integrated platform through Tanfac, Jayhawk and the proposed Bliss GVS acquisition. Beyond revenue synergies, how do you expect this integrated model to strengthen customer relationships and improve your competitive positioning against global peers?

Our acquisition strategy has always been focused on building capabilities rather than scale. Tanfac strengthened our fluorination platform through backward integration, ensuring secure access to critical raw materials, while Jayhawk expanded our advanced custom synthesis capabilities, established a strategic manufacturing footprint in the US and enhanced our ability to manufacture high-purity specialty chemicals.

The proposed acquisition of Bliss GVS is the next step in building an integrated pharmaceutical ecosystem spanning key starting materials, CDMO and CMO capabilities, and finished dosage formulations. With its US FDA-, EU GMP- and WHO GMP-approved manufacturing facilities, Bliss strengthens our access to regulated pharmaceutical markets while expanding our CDMO capabilities. Combined with Jayhawk's manufacturing presence in the US, this further enhances our ability to serve customers across North America and Europe. Together, these businesses enable us to offer broader solutions across the value chain and position Anupam Rasayan as a strategic development and manufacturing partner for global innovators.

Q4. With the completion of your Rs 315 crore capex during FY26, management indicated that the existing asset base has the potential to generate around Rs 3,500 crore of standalone revenue. What operational priorities will be critical to improving asset utilisation and achieving this potential without undertaking another major investment cycle?

Over the last few years, we have invested significantly in building world-class manufacturing capabilities and strengthening our technology base. With the completion of our standalone capex programme, the existing asset base has the potential to support approximately Rs 3,500 crore of revenue, and we do not expect any major standalone capex in the near future.

The focus now shifts from creating capacity to creating value. Our priorities are to improve asset utilisation through commercialisation of new molecules, execution of long-term contracts, deeper engagement with multinational customers and continued improvements in operational efficiency. We also expect our integrated ecosystem comprising Tanfac, Jayhawk and the proposed acquisition of Bliss GVS to create additional opportunities for customer expansion, technology collaboration and long-term value creation.

Q5. Management has indicated that pharma and performance materials are expected to outpace agrochemical growth, while new opportunities in EV materials, semiconductors and fluorination continue to expand. How do you prioritise capital and technical resources across these high-growth segments without diluting execution quality in your core businesses?

Our approach has never been to pursue growth at the expense of our core business. Instead, we have built capabilities that allow us to participate in multiple high-value segments while leveraging our strengths in complex chemistry, process development and manufacturing excellence. While agrochemicals remain an important pillar, we expect pharmaceuticals, polymers and performance materials to contribute an increasing share of future growth.

Our capital allocation is guided by customer demand, long-term partnerships and the chemistry capabilities required to address evolving customer requirements rather than individual business verticals. The recently signed USD 300 million LoI with BASQUEVOLT for electronic chemicals reflects our continued focus on expanding into high-value specialty chemistries. At the same time, our investments in fluorination chemistry, electronic chemicals, continuous flow chemistry and advanced manufacturing capabilities support multiple end markets, including pharmaceuticals, semiconductors and battery materials. This disciplined approach enables us to build new growth engines while maintaining the same manufacturing excellence, product quality and customer focus across our core businesses.

Q6. With Jayhawk strengthening your manufacturing presence in the US and Bliss GVS expanding your access to regulated pharmaceutical markets, how do you see Anupam Rasayan's global business evolving over the next few years? Which export markets or customer segments do you believe offer the strongest long-term growth opportunities?

Our global strategy has evolved from being an export-oriented specialty chemical manufacturer to building a stronger international manufacturing and customer engagement ecosystem. Through Jayhawk, we have established a strategic manufacturing presence in the United States, expanded our advanced custom synthesis capabilities and enhanced our portfolio of high-purity specialty chemicals. The proposed acquisition of Bliss GVS further strengthens our presence in regulated pharmaceutical markets and creates a dedicated platform for future CDMO and CMO opportunities.

Going forward, we see attractive opportunities across North America, Europe and Japan, supported by increasing demand for advanced custom synthesis and complex specialty chemistries. Our focus is to deepen relationships with multinational customers, expand our global footprint and create long-term value through technology, innovation and manufacturing excellence.