BPCL will buy a 40% interest in Tiki Tar-Shell India Pvt Ltd to make its presence in the value-added bitumen market. The deal is expected to be completed within 90 days, the company added.
Tiki Tar-Shell India was established in October 2019 and is responsible for manufacturing and marketing bitumen and bituminous products in road and airport infrastructure. VG Grade Bitumen, Polymer Modified Bitumen (PMB), Crumb Rubber Modified Bitumen (CRMB) and emulsions are amongst the products. It also exports to neighboring countries such as Nepal, Bhutan and Bangladesh. TTSIPL has been operating in a stable manner and has earned revenues of ₹317.8 crore in FY24, ₹545.2 crore in FY25 and ₹404.6 crore in FY26.
BPCL is positioning itself to take advantage of this segment in the current infrastructure boom in India where demand for high-quality bitumen products is rising because of the huge highway and airport development. BPCL will now be in a position to diversify its downstream business away from diesel and petrol refining and fuel marketing to take advantage of infrastructure-related opportunities to grow in the longer term.
This also indicates BPCL’s approach to the integration of the acquisition with existing operations. With its strong position in energy and fuel distribution, the company can leverage the scale and network to the benefit of TTSIPL’s products. This partnership makes BPCL a joint venture partner and is a more active player in India’s infrastructure supply chain.
In terms of the financial performance, BPCL reported a net profit of ₹3,192 crore during Q4 FY26 and losses of 2.3 percent due to impairment charges of Bharat PetroResources Ltd. But despite all the challenges the company's EBITDA was at ₹10,061 crore with an 8.5 percent margin on the back of healthy refining and marketing performance. BPCL shares fell almost 3 percent on the NSE on the back of the acquisition announcement but were up nearly 3 percent after that.
In conclusion, BPCL’s ₹85 crore investment in Tiki Tar-Shell India is an important step towards diversification and growth. By entering the value-added bitumen market, BPCL is positioning itself to benefit from India’s infrastructure expansion and reinforce its status as a key player in the downstream energy sector. The deal reinforces the company’s dedication to innovation, strategic partnerships and long-term sustainability in such a competitive market.
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