Shares of A-1 Limited, a Gujarat-based chemical trading and logistics company (BSE: 542012), surged to the upper circuit on Friday after the company announced a significant supply agreement, reversing a prolonged spell of lower circuit closures since November 28.
Earlier known as A-1 Acid Limited, the company had faced consecutive days of lower circuit limits, reflecting subdued investor sentiment. However, the market responded sharply to Friday’s announcement, pushing the stock up by ₹177.05 to hit its upper circuit of ₹1,864.05, marking a 10% intraday gain from its opening price of ₹1,686.55.
The Supply Agreement
A-1 Limited disclosed that it has signed a tripartite supply agreement to provide 10,000 tons of concentrated nitric acid for industrial use between November 2025 and March 2026, with provisions for additional quantities as mutually agreed.
The agreement involves major industry players: Gujarat Narmada Valley Fertilizers & Chemicals Limited (GNFC) as the manufacturer, while Solar Industries India Limited and its group companies will act as buyers and end-users. A-1 Limited will serve as the dealer, facilitating the supply chain.
Market Reaction: From Lower to Upper Circuit in a Single Day
On Thursday, A-1 Limited shares had closed at ₹1,775.30, stuck in the lower circuit. When the market opened on Friday at the lower circuit limit of ₹1,686.55, the announcement of the supply agreement triggered strong buying, sending the share price to ₹1,864.05—its upper circuit for the day. This sudden turnaround demonstrates the market’s positive reaction to strategic growth moves by the company.
Company Statement
Harshadkumar Patel, Chairman and Managing Director of A-1 Limited, stated that the agreement strengthens the company’s presence in the industrial chemical supply chain and reflects ongoing partnerships with prominent corporate players nationally. “This deal enhances volume visibility and reinforces A-1 Limited’s role as a trusted distributor and marketing partner in specialty chemicals,” he said.
About the Company
With a legacy spanning over five decades in industrial acid trading, distribution, and logistics, A-1 Limited is positioning itself as a mid-cap ESG-focused leader for the future. The company aims to transform into a multi-vertical green enterprise by 2028, integrating low-emission chemical operations with clean mobility solutions.
The surge in A-1 Limited shares highlights investor confidence in the company’s strategic growth plans and underscores the market potential in the chemical logistics sector.
Discover more from SD NEWS agency
Subscribe to get the latest posts sent to your email.