INVESTORICH

Buy at CMP - 775 , Targets - 845- 915, Time Frame - 5 - 12 Months, SL - 715​ TRIGGERS ·           Value Unlocking by getting debt free till FY20. Tata Chemicals is in talks for the sale of fertilizer business and investments and to be net debt free by FY20, while RoCE will also improve considerably.  Going forward, it sees revenue and net profit to grow at a CAGR of 9/22 percent over FY18-20. ·           Very Strong Results Expected with 100% jump in YOY profits, 4 times EPS Increase expected. Its Q3 profit soared 3-fold to Rs 7.6 bn on gains from US biz ·           The company is the world's second-largest producer of soda ash. ·           Tata Chemicals to acquire Allied Silica for Rs 123cr to facilitate growth of the specialty Silica business. This agreement includes the acquisition of an existing manufacturing site in Tamil Nadu, which will produce Highly Dispersible Silica (HDS). The specialty chemical product represents a downstrea