### **Overview** Neogen Chemicals Limited, founded in 1989 and headquartered in India, is a leading manufacturer of bromine- and lithium-based specialty chemicals. With over 35 years of experience, the company has evolved from a niche player to a globally recognized supplier serving high-value industries such as pharmaceuticals, agrochemicals, electronics, polymers, construction, and increasingly, energy storage and electric vehicles (EVs). As of November 2025, Neogen is actively transforming into a **technology-driven, agile specialty chemicals leader**, with a strategic focus on the **lithium-ion battery materials value chain**. --- ### **Core Business Segments** Neogen operates across four main chemical domains: 1. **Bromine Compounds**: Organic derivatives containing bromine, chlorine, fluorine, iodine, and Grignard reagents used in pharmaceuticals, agrochemicals, and electronic chemicals. 2. **Organolithium/ Organometallic Products**: Key reagents such as *n-Butyl Lithium (BuLi)* for lithiation reactions in complex synthesis; critical in pharma, agrochemicals, and semiconductor manufacturing. 3. **Advanced Intermediates**: Multi-step bromination-based chemical solutions that deliver forward-integrated, high-value products used in APIs, agrochemicals, and specialty polymers. 4. **Custom Synthesis & Contract Manufacturing (CSM)**: Tailored chemical solutions developed in-house for global clients across pharma, agrochemicals, flavors, fragrances, and electronics sectors. Its inorganic chemicals portfolio includes **specialty lithium-based products** with applications in eco-friendly VAM (Vapor Absorption Chillers), construction, and increasingly, battery technologies. --- ### **Strategic Growth: Entry into Battery Materials** Neogen has positioned itself as a first-mover in India’s emerging lithium-ion battery ecosystem, driven by rising EV adoption, government incentives (e.g., PLI Scheme), and global demand for non-Chinese supply chains. #### **Neogen Ionics Limited (NIL) – Wholly-Owned Subsidiary** Established in 2023, **Neogen Ionics Limited** is the dedicated arm for battery materials. It focuses on: - Solid LiPF₆ (lithium hexafluorophosphate) salt - Electrolyte formulation - Additives and services for advanced chemistry cell (ACC) batteries NIL is developing **India's largest integrated battery materials plant** at **Pakhajan, Dahej PCPIR (Gujarat)**, with full backward integration from lithium carbonate to finished electrolytes. #### **Key Projects & Capacity Expansion (FY25–FY27)** | Facility | Location | Planned Capacity | Technology Source | |--------|--------|------------------|-------------------| | Greenfield Electrolyte Plant | Pakhajan, Dahej PCPIR | 30,000 MT/year | Licensed from MUIS (Japan) | | Greenfield Lithium Electrolyte Salt Plant | Pakhajan, Dahej PCPIR | 3,000 MT/year | Proprietary in-house tech | | Dahej SEZ Expansion | Dahej, Gujarat | +400 MT salt; +2,000 MT electrolyte | Indigenous + MUIS | | **Total Combined Capacity** | Across Dahej sites | **32,000 MT electrolyte**, **5,500 MT lithium salts/additives** | - | | **CAPEX Investment** | | ₹1,500 Crore | Debt-financed; project finance secured | - **Commercial Timelines (Nov 2025 Status):** - Electrolyte production expected by **1H FY27** (April–September 2026) - Lithium salt production delayed to **2H FY27** due to technology homologation with Japanese partners - Mechanical completion of Pakhajan greenfield plant expected by **end of 2025** - **Peak Revenue Potential:** INR **2,500–2,950 crore by FY29**, contingent on lithium prices and global off-take. --- ### **Strategic Partnerships** Neogen has formed key alliances to accelerate its transition into the battery sector: - **MU Ionic Solutions Corporation (MUIS, Japan):** Secured an **exclusive technology license** to manufacture high-quality lithium-ion battery electrolytes — the **first ever granted globally by MUIS**. This gives Neogen a first-mover advantage and alignment with global quality and safety standards. - **Morita Chemical Industries (Japan):** Entered into a **landmark Indo-Japan joint venture** through **Neogen Morita New Materials Limited (NML)**, aiming to scale up LiPF₆ electrolyte salt production. Morita brings 30+ years of experience in large-scale salt manufacturing, enhancing production know-how, process safety, and international customer approvals. This J-V makes Neogen the **first Indo-Japan JV in the battery materials space**, signaling strong global interest in the India+1 supply chain initiative. --- ### **Technology & R&D Capabilities** - **R&D Units:** Two dedicated centers in **Mahape (Navi Mumbai)** and **Vadodara**, established since 2001. - **Team:** 116-member R&D team including **11 PhD scientists**; ~13% of workforce dedicated to R&D. - **Leadership Involvement:** Managing Director **Dr. Harin Kanani** (PhD, University of Maryland) directly oversees R&D. - **Portfolio Growth:** Expanded from **20 products in 2001** to **258 products by Q2 FY26**. - **Focus Areas:** Complex chemistries including lithiation, Grignard reactions, Suzuki coupling, biocatalysis, flow chemistry, and high-vacuum distillation. - **Innovation:** Strong emphasis on **in-house process know-how**, custom molecule development, and **lithium recycling from by-products**. --- ### **Manufacturing Infrastructure** - **Six Manufacturing Sites:** Mahape (Navi Mumbai), Karakhadi & Vadodara (Gujarat), Dahej SEZ (Gujarat), Patancheru (Hyderabad), and a new **65-acre greenfield site at Pakhajan, Dahej PCPIR**. - **Reactor Capacity (FY24–25):** - Organic chemicals: **438 m³** - Inorganic chemicals: **39 metric tons** - **Patancheru Facility Expansion:** After acquisition of BuLi Chem, de-bottlenecking increased organolithium capacity from **120 to 300 MTPA**. - **Certifications:** ISO 9001, ISO 14001, ISO 45001, and compliance with US FDA cGMP standards. --- ### **Growth Enablers & Competitive Advantages** 1. **First-Mover Advantage in Battery Materials:** - One of only **2–3 non-Chinese LiPF₆ salt producers globally**. - Exclusive access to **MUIS technology**, offering quality assurance and faster customer approvals. - India’s **first company to be PPAP-certified** by a leading giga-scale Indian battery manufacturer — marking a major milestone in supply chain integration. 2. **Vertical Integration & Supply Chain Security:** - **Backward integration** into organolithium and electrolyte salt production. - **Lithium recycling** capabilities reduce raw material costs and environmental footprint. - Long-term supply agreements with **top 2–3 global lithium miners**; dominant importer of **lithium carbonate & hydroxide** in India. 3. **China+1 Strategy Beneficiary:** - Strong global interest from **OEMs and cell makers** seeking **IRA-compliant, non-FEOC (Foreign Entity of Concern)** supply chains. - Positioning as a **low-cost, reliable alternative outside China**. 4. **Custom Synthesis Momentum:** - Over 258 products offered; strong traction in pharma and electronics. - Export contracts with **EU, U.S., Japan, Korea, Middle East**. - Growing CSM revenue stream with long-term supply agreements. 5. **Government Support:** - Benefiting from **PLI Scheme for ACC batteries**, **zero customs duty on lithium**, and "Make in India" initiatives. --- ### **Recent Key Milestones (Nov 2025 Update)** - Received **PPAP certification** from a major Indian giga-scale battery manufacturer — a rare achievement in India. - Secured **provisional approval** from a **major international customer** for lithium electrolyte salt (final approval expected Q4 FY26). - **Sample batches approved** by several global clients; commercial supply ongoing for early customers. - Dahej SEZ facility already producing **trial and early commercial volumes** of electrolytes and salts. - **Strategic land acquisition** of **270,740 m² across Dahej and Pakhajan** for future expansion.