BASF India Demerges Agricultural Solutions Business

BASF India Limited, the Indian arm of German chemicals giant BASF SE, has announced a landmark restructuring move by hiving off its Agricultural Solutions business into a separately listed entity through demerger.

- Anirudha Jain

The move is part of BASF SE's global strategy of adopting a differentiated steering model built on empowerment, simplification, and sharper focus. For BASF India, this demerger is expected to sharpen business portfolios, provide operational flexibility, and unlock the higher-margin potential of its agri-chemicals vertical, while aligning seamlessly with the parent's global ERP and legal separation initiatives.

BASF India Limited ("Demerged Company" or “BASF India”) is engaged in the business of manufacturing and trading of Chemicals & chemical Products. The products manufactured by the Demerged Company are used in agriculture, automotive, pharmaceuticals; construction, consumer durables, consumer care, paint and various other end industries. The Demerged Company operates in six business segments i.e., Agricultural Solutions, Industrial Solutions, Materials, Surface Technologies, Nutrition & Care and Chemicals. The equity shares of the Demerged Company are listed on BSE Limited and NSE.

BASF Agricultural Solutions India Limited ("Resulting Company") is a company incorporated to facilitate the proposed demerger. The entire paid-up capital of the resulting company is owned by the demerged company.

The Proposed Transaction

The Board of Directors of BASF India and Resulting company approved a Scheme of Arrangement (“Scheme”) amongst BASF India Ltd & BASF Agricultural Solutions India Limited and their respective shareholders, providing for the demerger of the Company's Agricultural Solutions Business ("Proposed Transaction") in compliance with Sections 230 to 232 and other applicable provisions of the Companies Act, 2013.