Image Source: Trendlyne.com
In a move that signals growing institutional interest in India’s specialty chemicals sector, Elpro International Ltd has acquired equity shares worth ₹40.4 million in Clean Science and Technology Ltd. The investment adds to Elpro’s expanding portfolio of high-growth, innovation-driven companies and reflects its strategic pivot toward sustainable and scalable industrial segments.
Key Highlights
Elpro International purchased shares of Clean Science and Technology for ₹40.4 million in August 2025.
The acquisition aligns with Elpro’s recent pattern of investing in mid-cap and specialty sector leaders.
Clean Science and Technology has a market capitalization of ₹15,357 crore and a P/E ratio of 58.09, indicating strong investor confidence and premium valuation.
The company reported a 6.26% year-on-year rise in net profit to ₹70.06 crore for the quarter ended June 2025.
Why Clean Science and Technology?
Clean Science and Technology Ltd is a Pune-based manufacturer of performance chemicals used in pharmaceuticals, agrochemicals, and FMCG products. Known for its proprietary processes and zero-waste manufacturing, the company has carved out a niche in green chemistry and high-margin intermediates.
The firm operates in the specialty chemicals sub-sector, which has seen robust demand from global clients seeking reliable, low-cost alternatives to Chinese suppliers.
Its core products include MEHQ, BHA, and anisole derivatives, which are critical to stabilizers, antioxidants, and fragrance compounds.
Clean Science has consistently maintained EBITDA margins above 30%, supported by backward integration and process innovation.
Elpro’s investment is seen as a vote of confidence in Clean Science’s long-term growth trajectory and ESG-aligned business model.
Elpro’s Investment Strategy
Elpro International Ltd, traditionally known for its surge protection and real estate ventures, has been actively diversifying its holdings:
In the past year, Elpro has acquired stakes in companies such as Can Fin Homes, Blue Jet Healthcare, Titan Co, and Ami Organics.
The company has also invested in financial services, diagnostics, and housing finance, indicating a thematic preference for consumer resilience and healthcare infrastructure.
Its acquisition of Clean Science shares fits into a broader strategy of identifying scalable, innovation-led businesses with strong export potential.
This approach reflects Elpro’s shift from legacy manufacturing to a more agile, capital-efficient investment model.
Market Performance and Valuation Metrics
As of July 2025, Clean Science and Technology’s stock trades at ₹1,318.70 per share, with a dividend yield of 0.42%. The company’s 52-week high stands at ₹1,475, while its low is ₹1,062, indicating moderate volatility and sustained investor interest.
The company’s price-to-book ratio is 12.76, and its return on equity remains above 20%, reinforcing its premium valuation.
Analysts expect Clean Science to benefit from rising global demand for clean-label chemicals and regulatory tailwinds favoring non-toxic manufacturing.
Elpro’s timing appears strategic, as Clean Science prepares for capacity expansion and new product launches in FY26.
Strategic Implications
Portfolio Diversification Elpro’s investment in Clean Science adds a high-margin, export-oriented asset to its portfolio, balancing its exposure to real estate and financial services.
ESG Alignment Clean Science’s zero-waste processes and green chemistry credentials align with Elpro’s growing focus on sustainability-linked investments.
Long-Term Value Creation With Clean Science’s consistent profitability and innovation pipeline, Elpro is likely positioning for long-term capital appreciation rather than short-term gains.
Conclusion
Elpro International’s ₹40.4 million investment in Clean Science and Technology underscores a strategic shift toward future-ready sectors. As India’s specialty chemicals industry continues to attract global attention, this move could prove to be a cornerstone in Elpro’s evolving investment narrative.
Sources: Tickertape, Zerodha
Advertisement
Advertisement
