Key Investment Details
The Board of Directors of Indag Rubber Limited, at its meeting held on May 28, 2026, approved a strategic investment in its subsidiary company, Millenium Manufacturing Systems Private Limited ("Investee Company").
The investment involves acquisition and/or subscription to equity and/or preference shares equivalent to 51% of the issued and paid-up share capital of the Investee Company, aggregating to ₹2.30 Crores.
The investment is to be made on or before March 31, 2027, in one or more tranches.
Related Party Transaction Aspects
The transaction falls within the ambit of related party transactions as the Investee Company is a subsidiary of Indag Rubber Limited.
The remaining 49% of the paid-up share capital of the Investee Company will be subscribed by two other entities in equal proportion, which are Related Parties of the Company. These entities have common control of Promoters of the Company.
The transaction is stated to be at arm's length.
Subsidiary Company Background
Name: Millenium Manufacturing Systems Private Limited
Business: Manufacturing of power conversion system (PCS) for battery energy storage system (BESS) and power electronics and electronics in the green energy sector.
Date of Incorporation: April 9, 2023
Financial Performance:
- FY 2025-26: Turnover of ₹26.48 Lakhs
- FY 2024-25: Turnover of ₹360.14 Lakhs
- FY 2023-24: Turnover of NIL
Purpose and Rationale
The proposed investment is intended to support the business operations, growth plans, and funding requirements of the investee company.
Regulatory Approvals
No governmental or regulatory approvals are required for this acquisition.
Governance Process
The disclosure was made pursuant to Regulation 30(6) read with Para A(1) of Part A of Schedule III of the Listing Regulations and on the recommendation of the Audit Committee.
This communication is in continuation of an earlier communication dated July 14, 2023.