Transaction Details
- The Company, FESPL, and Aasava Management Services LLP (Aasava) entered into a Share Subscription Agreement (SSA) and Shareholders Agreement (SHA) on July 20, 2026.
- The agreement provides for the issue of 7,17,949 equity shares in FESPL to Aasava.
- FESPL is confirmed not to be an 'Undertaking' of the Company under Section 180 of the Companies Act, 2013 and Regulation 37A of the Listing Regulations.
Shareholding Change
- Post-allotment, Fermenta Biotech's shareholding in FESPL will reduce to 91.76% from 100%.
- FESPL will consequently cease to be a Wholly-Owned Subsidiary of the Company.
Financial Impact
- No consideration will be received by Fermenta Biotech Limited from this transaction.
- Aasava will pay FESPL a total Subscription Amount of ₹86,15,388 for the allotment of 7,17,949 equity shares.
Financial Contribution of FESPL
As per audited financial statements as on March 31, 2026:
- FESPL's Total Revenue was ₹400.53 lakhs, representing 0.73% of the Company's consolidated figures
- FESPL's Net-worth was ₹340.24 lakhs, representing 0.85% of the Company's consolidated figures
- FESPL was incorporated on May 1, 2025
Transaction Timeline
- Agreement entered into: July 20, 2026
- Expected completion date for share allotment: By or before July 27, 2026
Counterparty Details
- Investor: Aasava Management Services LLP, a limited liability partnership registered under the Limited Liability Partnership Act, 2008
- Aasava does not belong to promoter/promoter group/group companies of Fermenta Biotech
- Aasava has been involved with FESPL's environment solutions business as its marketing associate and consultant for several years
Rationale
The Company states that Aasava's investment reflects confidence in FESPL's business and aligns interests with FESPL's long-term growth. The investment is expected to be value accretive for FESPL, its business, and employees.