This Chemical Stock Gains Over 8%; Enters Rs 1,250 Crore MoU with MNC

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This Chemical Stock Gains Over 8%; Enters Rs 1,250 Crore MoU with MNC

Enters Agreement to Supply Fluorinated Products to a Multinational Company Over Five Years

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Tanfac opened at Rs 2,255.00 and moved to an Intraday high of Rs 2,433.00, while the low stood at Rs 2,255.00. It is trading at 2422 as of 10.20 on April 15, 2026, gaining 8.5 per cent, ahead of  the announcement made by the company.

MoU Details
The company has informed the exchanges that it has entered into a Memorandum of Understanding (MoU) with a large multinational company for the supply of its key fluorinated product. As per the agreement, the company will supply 5,000 metric tonnes per annum of the specified product. The contract is expected to be executed over a period of five years, starting from January 1, 2027. The estimated total value of the MoU stands at approximately Rs 1,250 crore, excluding GST.

Nature of Agreement
The agreement covers both domestic and export markets, indicating that the supply will cater to a mix of local and international demand. A Memorandum of Understanding is generally a formal agreement that outlines the intent of both parties to engage in a business arrangement. It sets the framework for future execution of detailed contracts. The supply of fluorinated products forms part of the company’s core business operations. These products are widely used in industries such as chemicals, refrigeration, pharmaceuticals, and electronics.

Order Visibility
The long-term nature of the agreement provides visibility for future business operations over the next five years. Such arrangements typically help companies plan production and manage capacity utilization more effectively.
The defined annual supply quantity also provides clarity on execution expectations under the agreement.

About the Company
Tanfac Industries Ltd is engaged in the production of Hydrofluoric Acid and its derivatives. Incorporated in 1972, the company operates in the specialty chemicals segment and supplies products used across various industrial applications. The company is among the established players in the fluorochemical segment in India.

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Disclaimer: This article is for informational purposes only and not investment advice.