Investment Details
- Number of Shares: 4,50,00,000 NCRPS
- Investment Amount: ₹45 Crores (cash consideration)
- Share Type: 0.25% Non-Convertible Redeemable Preference Shares
- Redemption Period: 10 years
- Post-transaction Holding: Company holds 100% of KGPL's NCRPS
Target Entity Information
Kerovit Global Private Limited (KGPL)
- Business: Manufacturing of sanitaryware products
- Incorporation Date: January 18, 2022
- Relationship: Step-down wholly-owned subsidiary (through Kajaria Bathware Private Limited)
- Geographic Presence: India
Financial Performance of KGPL
Turnover:
- FY 2023-24: ₹0.04 Crores
- FY 2024-25: ₹10.84 Crores
- FY 2025-26: ₹36.11 Crores
Profitability:
- Loss After Tax (FY 2025-26): ₹31.65 Crores
Transaction Classification
- Related Party Transaction: Yes (KGPL is step-down wholly-owned subsidiary)
- Arm's Length Basis: Yes
- Approval: Audit Committee approval obtained
Purpose and Impact
- Primary Objective: To improve the debt-equity ratio of KGPL
- Business Alignment: KGPL's sanitaryware manufacturing aligns with Kajaria's main business
- Ownership Structure: KGPL continues as step-down wholly-owned subsidiary post-transaction
Regulatory Aspects
- Governmental/Regulatory Approvals: Not applicable
- Completion Timeline: Not applicable (transaction completed on October 29, 2026)
Corporate Structure
Kajaria Bathware Private Limited (wholly-owned subsidiary of Kajaria Ceramics) holds 100% equity shares of KGPL. Kajaria Ceramics is the ultimate holding company of KGPL.