Shares of Neogen Chemicals Ltd plunged 4% as the company announced that a major fire broke out at its Dahej SEZ plant in Gujarat.The fire incident was reported around 12:3 am on Wednesday, March 5, leading to a temporary suspension in production, the company said in a stock exchange filing.
The plant, owned and operated by Neogen Chemicals, is primarily involved in the production of organic chemicals.
In the stock exchange filing, the company said the prompt and efficient action by the supervisory staff prevented the fire from spreading to neighbouring plants, and there were no casualties or injuries reported. Currently, the cause of the fire is under investigation.The company said it informed authorities and is working to determine the extent of the damage caused by the incident.
Due to the fire, production at the Dahej plant has been temporarily suspended until a thorough assessment is completed by the insurance surveyor. Neogen Chemicals has already notified its insurance company and requested a surveyor to evaluate the damage.Despite the setback at the Dahej facility, the company assured stakeholders that there was no impact on the operations of its other plant, Neogen Ionics Limited, which is located nearby. The fire also did not affect any other divisions or plants in the region, the company said.
The plant, owned and operated by Neogen Chemicals, is primarily involved in the production of organic chemicals.
In the stock exchange filing, the company said the prompt and efficient action by the supervisory staff prevented the fire from spreading to neighbouring plants, and there were no casualties or injuries reported. Currently, the cause of the fire is under investigation.The company said it informed authorities and is working to determine the extent of the damage caused by the incident.
Due to the fire, production at the Dahej plant has been temporarily suspended until a thorough assessment is completed by the insurance surveyor. Neogen Chemicals has already notified its insurance company and requested a surveyor to evaluate the damage.Despite the setback at the Dahej facility, the company assured stakeholders that there was no impact on the operations of its other plant, Neogen Ionics Limited, which is located nearby. The fire also did not affect any other divisions or plants in the region, the company said.
In terms of financial repercussions, the company has confirmed that the damage from the fire is covered under its insurance policy, although the quantum of the loss is still being determined.
Neogen Chemicals is currently focused on ensuring that the plant’s operations resume as soon as possible following the necessary assessments and repairs.
Further details, including the estimated financial impact and timeline for the plant’s reopening, are expected to be clarified after the insurance survey and investigation into the cause of the fire are completed.
Shares of Neogen Chemicals were trading 2.06% lower at ₹1,681.5 apiece on the BSE around 9.45 am.
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