Himadri Speciality Chemical is preparing a ₹500-crore expansion of its revived Birla Tyres business and moving to consolidate operations held by acquisition partner Dalmia Bharat Refractories, even as its Australian associate Sicona Battery Technologies acquires a US battery-materials company and plans a $10.3-million investment in Louisiana. The moves mark a diversification push by the Kolkata-based chemicals manufacturer into higher-value tyres and advanced materials for electric vehicles.
Birla Tyres, traditionally known for truck-and-bus bias tyres, which use a lower-cost construction suited to heavy loads and rough roads, resumed operations in Q1 FY26. Himadri is modernising its Balasore factory in Odisha, expanding commercial-vehicle and agricultural tyre production and preparing passenger-car radial tyres for EVs and SUVs. It targets ₹3,000 crore in annual tyre revenue over four to five years.
The proposed consolidation would transfer Dalmia’s operating tyre undertaking directly into Himadri, simplifying ownership and investment decisions following their joint acquisition of distressed Birla Tyres in 2023. The transaction itself will not add manufacturing capacity.
In the US, Sicona acquired silicon-anode technology company Advano for an undisclosed sum, gaining intellectual property, a pilot plant and battery-cell testing capabilities. It plans to invest $10.3 million over five years at its New Orleans East facility and has separately secured AUD 45 million in Australian government funding to commercialise silicon-carbon anode technology.
Himadri Chairman and Managing Director Anurag Choudhary described the Birla consolidation as “an important step towards creating an integrated tyre value chain, leveraging our capabilities across feedstock, speciality carbon black, R&D and manufacturing.”
Himadri and Dalmia acquired Birla Tyres through a ₹306-crore insolvency resolution plan. The operating tyre undertaking was placed with Dalmia, while unfinished passenger-car radial assets were housed separately in Himadri Birla Tyre Manufacturer. Himadri subsequently became the sole owner of Birla Tyres Ltd and secured contractual control over the radial-assets company.
Under the September 21 board-approved scheme, Dalmia’s tyre undertaking, which reported FY26 turnover of ₹149.31 crore, would transfer to Himadri. Dalmia shareholders would receive one Himadri share for every 260 shares held, subject to approvals.
The ₹500-crore programme aims to modernise existing operations and establish higher-value radial tyre production. Himadri targets commissioning passenger-car radial facilities by FY28, with production ramping up into FY29. Birla has 49 distributors and more than 1,300 dealers.
Himadri also holds 19.44 per cent of International Battery Company, which targets commercial operations at its Indian gigafactory in Q1 FY28. Its other strategic investments include nanoscience venture Invati Creations.
Himadri’s FY26 consolidated revenue rose to ₹4,661 crore from ₹4,613 crore, while net profit increased to ₹755 crore from ₹555 crore.
In H1 FY27, revenue jumped 42.7 per cent to ₹3,123 crore and net profit rose 29.3 per cent to ₹460 crore, although EBITDA margin narrowed to 19.7 per cent from 21.6 per cent.
Separately, Himadri has outlined ₹1,613 crore in advanced-materials investments, including ₹1,125 crore for lithium iron phosphate cathode materials, with initial production targeted for Q3 FY27.
Consolidated borrowings increased to ₹1,156 crore in September from ₹767 crore in March. Management targets net profit exceeding ₹1,100 crore by FY28.
The challenge will be scaling Birla Tyres profitably while converting its battery-materials investments and international technology partnerships into sustainable earnings.
Published on October 20, 2026
