Shares of Kiri Industries fell over 6% to ₹682.25 in early trade on May 30, reacting negatively to the company’s announcement of a major stake sale in DyStar Global Holdings. The sharp decline—nearly 7% at one point—comes despite the seemingly positive development.
On May 29, 2025, Kiri Industries signed a Share Purchase Agreement (SPA) with Zhejiang Longsheng Group Co., Ltd to divest its entire 37.57% stake in DyStar Global Holdings (Singapore) Pte. Ltd. The agreement was signed alongside court-appointed receivers from Deloitte & Touche LLP.
As per the terms, Zhejiang Longsheng will acquire 26,23,354 equity shares for a base consideration of USD 676.26 million. An additional USD 20.29 million may be paid for shortfall adjustments or other SPA obligations. The deal may see further adjustments depending on final terms.
This transaction was mandated by the Singapore International Commercial Court (SICC), which in February 2024 ordered an en-bloc sale of DyStar stakes held by Kiri and Senda International Capital. The deal is subject to standard regulatory approvals and has a long-stop date of October 2, 2025, extendable to November 3, 2025.
Despite the high valuation of the deal, Kiri shares came under pressure as investors weighed the lengthy timeline for deal completion and uncertainty over the immediate earnings impact. J.P. Morgan Securities Asia is advising Kiri on the deal.
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