Nath Industries is fundamentally a papermaker that turned itself into an integrated materials business through a single, deliberate merger. It was formed in 2019 when three family-linked companies-a pulp mill, a paper mill and a chemical plant-were combined into one listed entity, stitching together the raw materials, the manufacturing and the energy supply that had always depended on one another. The recurring approach is to take a commodity input, run it through a flexible mill that can switch between dozens of grades, and sell the output into niches where customisation matters more than price alone-then use the waste heat and steam from that process to generate its own power, cutting costs at every step. # Business segments Three engines built on the same industrial backbone-a specialty-paper operation that earns the group’s keep, a sulphur-chemicals plant that feeds it steam and sells the surplus, and a captive-power setup that turns process waste into electricity for both. ## 1. Specialty paper: the group’s crown product and export engine **A mill that makes over a dozen grades of industrial and consumer paper, led by a laminate-base paper with a sizeable global market share, sold into more than 22 countries through a fixed dealer network.** - **The “crown product” is a laminate raw material** - Absorbent Kraft, used to make decorative laminates and ready-to-use furniture, holds a sizeable share of both domestic and export markets; a new Platinum grade has been developed that replaces 100% virgin kraft, widening its use in high-end laminates. - **Thermal paper, where the company claims leadership** - it makes the heat-sensitive paper that becomes ATM receipts, point-of-sale slips, bus tickets and toll-booth printouts, with Unit Nath Paper targeting 4,500 tonnes of thermal-paper production in the year. - **A bag-kraft brand built on a plastic ban** - “Mac D” Kraft was launched to supply square-bottom paper shopping bags after the state banned single-use plastic, turning regulation into a new product line. - **Flexible furnishes keep input costs in check** - the mill tests combinations of wood pulp, wastepaper, bamboo, bagasse and wheat straw, and has even introduced a “pepsi pulp street” that uses recycled paper cups instead of hardwood pulp, conserving virgin fibre and reducing raw-material expense. ## 2. Sulphur-based chemicals: a regional supplier with a steam co-product **A sulphuric-acid and sulphur-dioxide plant in Gujarat that sells roughly 70% of its output within a 150-kilometre radius, while the steam it generates is becoming a product in its own right.** - **Sulphuric acid at scale, recently expanded** - capacity was raised from 280 to 500 tonnes per day by replacing an old 100-tonne-per-day plant with a new 320-tonne-per-day unit, making it a larger supplier to the phosphate-fertilizer and chemical-manufacturing clusters nearby. - **Sulphur dioxide, lifted by a refrigerant ban** - the division is an established player in SO₂ and is finalising a capacity increase from 60 to 90 tonnes, with demand helped by the phase-out of Freon gas in air-conditioning. - **Surplus steam is the hidden product** - the chemical process throws off more steam than the plant needs, and the company is negotiating to supply that steam as green energy to outside customers, turning a by-product into a revenue stream. - **A flexible product mix that follows the market** - the plant can shift among sulphuric acid, oleums, sulphur trioxide and other derivatives, and has historically produced thionyl chloride and LABSA (a surfactant used in detergents), letting it chase demand across fertilizers, textiles, batteries and home care. ## 3. Captive power and solar: the cost-cutting layer underneath both divisions **Self-generated electricity from waste-heat turbines and rooftop solar that makes the chemical unit virtually grid-free and lowers the paper mill’s energy bill.** - **A turbine that runs on process steam** - a 3.3 MW turbine installed at the chemical unit generates enough electricity from steam produced during sulphuric-acid manufacturing to meet the unit’s entire power requirement, reducing its grid draw to near zero. - **A second turbine and solar at the paper mill** - Unit Nath Paper runs its own 3.3 MW turbine alongside a 1 MW solar plant, with plans to add another 2 MW of solar, cutting power and fuel costs for the energy-intensive paper machines. - **Co-generation ties the two businesses together** - the chemical division’s steam and power setup was originally built to serve the paper operations after the amalgamation, so the energy layer is not a standalone business but the thread that makes the whole integrated model work. # Group structure and partners **A tightly held, promoter-controlled company with no subsidiaries-just two manufacturing sites, a handful of financial investments, and a working-capital line from State Bank of India.** - Promoters owned 73.71% of the shares as of March 2025, making it a closely held public company listed on the Bombay Stock Exchange. - The company has no subsidiary, joint venture or associate; its only equity investments are 532,000 shares in Nath Biogene (I) Ltd and 2,000 shares in Saraswat Co-operative Bank. - The two manufacturing sites are at Paithan in Maharashtra (paper) and Vapi in Gujarat (chemicals), though the land titles for both are still in the names of the pre-merger entities, with the transfer process underway. - A deferred sales-tax liability from a Maharashtra government incentive scheme will be repaid in seven annual instalments starting from FY 2029-30, giving the paper unit a long-dated, low-cost obligation.