Why Is UPL Share Price Falling Today? Agro Stock Crashes 15% on This Major Update | Check Target Price

UPL Share Price Today: Shares of UPL Limited plunged nearly 15% in Monday's trading session after the agrochemical major unveiled a comprehensive restructuring plan. The stock hit the lower circuit as investors reassessed the company's outlook following the merger update, triggering heavy selling pressure on the counter.

UPL shares were trading 14.62% lower at Rs 641.85 apiece at around 12 pm on Monday on the BSE. The stock plunged nearly 15% during the session and hit the lower circuit twice, first at Rs 676 per share and later at Rs 639 per share, reflecting intense selling pressure.

Why Is UPL Share Price Falling Today?

The sharp decline in UPL share price came days after the company announced its three-step restructuring plan to create UPL Global as a unified India and international crop protection platform.

UPL Merger Details

UPL merger plan involves the merger of UPL SAS into UPL Ltd, demerging the India Crop Protection business into UPL 2, and merging UPL Cayman into UPL 2. The company has also planned to consolidate its seeds and Decco business.

"We wish to inform you that the Board of Directors of the Company at its meeting held today i.e. February 20, 2026, based on recommendations of the Audit Committee and Committee of Independent Directors, has approved a Composite Scheme of Arrangement amongst the Company ("UPL 1"), UPL Sustainable Agri Solutions Limited ("UPL SAS"), UPL Global Sustainable Agri Solutions Limited ("UPL 2"), UPL Crop Protection Holdings Limited ("UPL Cayman") and their respective shareholders, under Sections 230 to 232, 234 and other applicable provisions of the Companies Act, 2013 ("Scheme")," stated UPL in its BSE filing released on Friday, February 20.

UPL Ltd will remain the parent and capital allocator, with plans to enhance transparency and potentially eliminate the prevailing conglomerate discount to UPL.

UPL Share Price Recommendation

Motilal Oswal maintained a 'Neutral' rating for UPL, maintaining that its valuation is highly sensitive to the holding company discount applied to UPL Global/Advanta. "Thus, the riskreward remains favorable if the Holdco discount moderates but becomes constrained under higher discount assumptions," noted the brokerage in its report.

UPL Share Price Target

Motilal Oswal has maintained a 'Neutral' recommendation for the company with a target price of Rs 730 per share. "We expect UPL to report a CAGR of 8%/12%/37% in revenue/EBITDA/PAT over FY25-28. Considering the uncertainty in the Holdco discount, as UPL Ltd. is bound to become a holding company, we reiterate our Neutral rating on the stock with a TP of INR730."

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