Fairfax-backed Fairchem Speciality to restructure business
The Board of Directors of Fairchem Speciality Limited announced the separation of its “Oleo Chemical & Nutraceutical Business” through a demerger . To take the company to the next level, the famous Fairfax group acquired a significant stake in the company & thereafter immediately the company acquired “ Aroma Business ” from Privi Organics Limited . As a result of the acquisition by Fairfax & demerger, the erstwhile promoters stake got changed from 62% to 4%. Interestingly, only after less than three years, the promoters have decided to part away. What made them think of separation of the business? What will be the impact on minority shareholder and the largest promoter shareholder Fairfax Group? Formation of FAIRCHEM SPECIALTY LTD. Till 2015-16, the company was operated as Adi Fairchem Limited (AFL) having a business of speciality oleo chemical & nutraceuticals. In late 2015, Canada based Fairfax Group (FIH) entered into a Share Purchase Agreement with...