The shares of a Small-Cap company, specializing in the production and sale of urea, a nitrogenous chemical fertilizer, are in focus after Dolly Khanna acquired a fresh stake of 1.68 percent in Q1 FY26.

With a market capitalization of Rs. 1,974.09 crores on Thursday, the shares of Southern Petrochemicals Industries Corporation Ltd jumped upto 11.8 percent, making a high of Rs. 99.00 per share compared to its previous closing price of Rs. 88.54 per share.

Southern Petrochemicals Industries Corporation Ltd, engaged in the production and sale of urea, a nitrogenous chemical fertilizer, is in focus as the prominent Ace investor Dolly Khanna has acquired a fresh stake in the company.

In June 2025, Southern Petrochemicals Industries Corporation Ltd had a majority stake held by the promoters at 53.38 percent, foreign institutional investors at 6.53 percent, domestic institutional investors at 0.29 percent, and the public at 39.80 percent.

Dolly Khanna has made a fresh investment in Southern Petrochemicals Industries Corporation Ltd, acquiring 31,37,884 shares, which represent a 1.68 percent stake with a current value of Rs. 27.26 crore.

Financials & Others

The company’s revenue rose by 473 percent from Rs. 132.46 crore to Rs. 759.44 crore in Q4FY24-25. Meanwhile, the Net loss from  Rs. 24.23 crore turned to a profit of  Rs. 19.47 crore during the same period.

The company has a P/E ratio of 11.04, which is well below the industry average of 24.63, and a low PEG ratio of 0.29, indicating potential undervaluation. Its debt-to-equity ratio stands at a modest 0.60, showing a healthy financial structure.

Over the past three years, the company has maintained strong profitability with an average ROE of 16.73% and ROCE of 15.37%, reflecting efficient use of capital and solid returns for shareholders.

Southern Petrochemical Industries Corporation (SPIC) Limited is an Indian company, founded in 1969, focused on the manufacturing and sale of fertilizers, particularly urea. It is one of the earliest petrochemical companies in India with a strong emphasis on fertilizers and is a well-recognized brand in rural India, trusted by farmers. 

It offers a broad range of agricultural and industrial products, including primary and secondary nutrients, micronutrients, water-soluble and organic fertilizers, bio-fertilizers, non-edible de-oiled cake fertilizers, organic pesticides, plant growth regulators, bio-stimulants, and various industrial products.

They provide services that support farmers, such as soil testing and analysis at their Tuticorin lab, along with expert guidance on improved cultivation practices, soil health management, and integrated nutrient and pest management.

Written by Sridhar J 

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