Transaction Overview
DCX Systems Limited has made a further investment in ELTX Systems Private Limited, an Associate and Joint Venture company. The JV is with ELTA Systems Limited, Israel. The investment was made pursuant to a rights issue.
Details of the Target Entity (ELTX Systems Private Limited)
- Status: Associate and Joint Venture of DCX Systems Limited.
- Industry: Defence and Aerospace Industry.
- Line of Business: Design, Develop, Manufacture of all types of Integrated Electronic Systems, Command and Control Systems, Test & Measuring Equipment, embedded systems and software, Radar and EW Systems for the Land and Airborne Applications and counter drone systems.
- Date of Incorporation: October 10, 2025.
- Country of Presence: India.
- Financial Details (as on March 31, 2026):
- Paid-up Share Capital: ₹2.5 Million
- Turnover: Nil (for FY24, FY25, FY26)
- Loss after Tax: ₹1.30 Million
- Net-worth: ₹1.19 Million
Transaction Specifics
- Date of Allotment: The equity shares were allotted to DCX Systems Limited on July 14, 2026.
- Number of Shares Acquired: 234,229 equity shares of ₹10 each.
- Acquisition Price: Acquired at a premium of ₹3,590 per equity share.
- Total Consideration: ₹84,32,24,400 (Rupees Eighty Four Crores Thirty Two Lakhs Twenty Four Thousand Four Hundred Only).
- Mode of Consideration: Cash.
- Type of Issue: Rights Issue.
Shareholding and Control
- There is no change in the shareholding percentage of DCX Systems Limited in ELTX pursuant to this acquisition.
- DCX Systems Limited will continue to hold 37% shareholding in ELTX.
Related Party Transaction Status
ELTX is a related party of DCX Systems Limited. The promoter/promoter group/group companies have no interest in ELTX. The transaction was conducted on an arm's length basis.
Objects and Impact of Acquisition
- The investment is a part of the utilization of the proceeds from the Company's Qualified Institutional Placement (QIP) as specified in the QIP Placement document dated January 19, 2024.
- The stated purpose is towards the fulfilment of the Company's growth strategies.
- The funds will be utilised to meet ELTX's working capital and other business/operational requirements to effectively meet its business needs.
Governmental/Regulatory Approvals
Not Applicable, as stated in the disclosure.
#Tags: #DCXSystems #ELTX #SEBIDisclosure #RegulatoryCompliance #M&A #Defence #Positive