Shares of Tata Chemicals Ltd rose 1% to touch a day’s high of Rs 912.10 on 28th October. This occurred as the company announced that its subsidiary, Tata Chemicals Magadi Ltd (TCML), has won a legal dispute against the County Government of Kajiado, Kenya.

The Court of Appeal in Nairobi, in its order dated 24th October, 2025, ruled in favour of Tata Chemicals Magadi Ltd (TCML), a subsidiary of Tata Chemicals. It declared the County Government of Kajiado’s demand for land revenue arrears worth Rs 783 crore (Kenyan Shillings 11.84 billion) as arbitrary and illegal.

The court stated that TCML is not required to pay the arrears. This is due to the absence of a transparent and accountable framework for determining land rates.

Tata Chemicals had earlier disclosed the ongoing litigation in a letter dated 14th August, 2023. As of 31st March, 2025, the revised demand from the County Government stood at Rs 783 crore. This amount is currently reflected as a contingent liability in the company’s books. The management will now review the accounting treatment of this amount in light of legal advice.

Tata Chemicals First Quarter Results

In its first-quarter results, Tata Chemicals reported a 68% year-over-year rise in net profit to Rs 252 crore for the quarter ended June 2025. This compares to Rs 150 crore in the same period last year. Revenue from operations dipped 1.8% to Rs 3,719 crore from Rs 3,789 crore. Meanwhile, EBITDA rose 13% YoY to Rs 649 crore, improving the EBITDA margin to 17.4% from 15.1% in Q1FY25. Net debt as of 30th June, 2025, stood at Rs 4,972 crore (excluding lease liabilities of Rs 760 crore).

At 12:04 PM, shares of Tata Chemicals were trading 1.16% higher at Rs 903.90 on NSE.

Unicorn Signals leverages advanced AI technology to provide you with powerful market predictions and actionable stock scans. Download the app today and 10x your trading & investing journey!