If anything, they are happy Tata Chemicals has begun exiting the fertilizer business, which has become a drag on finances. Many analysts were expecting Tata Chemicals to use the divestment proceeds to pare debt. The Tata Chemicals stock gained 8.77% on BSE on Wednesday after the company agreed to sell its urea business for Rs.2,670 crore. The price is lower than the $1 billion or Rs.6,600 crore it was reportedly seeking for the whole fertilizer business a year ago. In a conference call with analysts, the management said Tata Chemicals is “transitioning” itself into a company focused on consumer products and is looking for options in the sector.

Source: Mint August 10, 2016 21:33 UTC