Main Disclosure – Disinvestment Details

Target Entity: ESG Solar Energy Private Limited (referred to as "the subsidiary")

Percentage Stake Disinvested: 26% stake (2,600 equity shares of face value ₹10 each)

Post-Transaction Holding: The company's holding will reduce from 100% to 74%. Post-transfer, ESG Solar Energy Private Limited will change status from Wholly Subsidiary Company to Subsidiary Company of SWELECT ENERGY SYSTEMS LIMITED.

Counterparty/Buyer: GARG ACRYLICS LIMITED (described as "a proposed group captive consumer")

Mode of Consideration: Cash consideration of ₹31,00,000 (Rupees Thirty One lakhs Only)

Valuation or Price Basis: Not explicitly disclosed in the document.

Rationale for Disinvestment: Not explicitly stated beyond the identification of Garg Acrylics as "a proposed group captive consumer."

Impact on the Company: The transaction changes the subsidiary status from wholly-owned to subsidiary. The document does not mention specific impacts on capital allocation, free cash flow, or debt.

Business Profile of Target Entity

Sector: Solar Energy

Financial Performance: The subsidiary is yet to commence commercial production/operation. It has:

  • NIL Turnover
  • NIL Income
  • Negative net worth of ₹7.83 lakhs as per the last audited financial statements for F.Y 2025-2026

Operational Status: Pre-operational phase (has not commenced commercial production)

Transaction Details

Related Party Status: No. The transferee (Garg Acrylics Limited) does not belong to Promoter/Promoter Group/Group Companies.

Approvals Required: The completion of sale/disposal is subject to approval of the Board of ESG Solar Energy Private Limited.

Indicative Timeline: The date of completion will depend upon the approval of ESG Solar Energy's Board. The share transfer agreement (Form SH-4) was executed on August 31, 2026.

Regulatory Compliance: The disclosure is made pursuant to Regulation 30 of SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015 read with SEBI Master Circular No. HO/49/14/14(7)2025- CFD-POD2/I/3762/2026 dated January 30, 2026.

Other Updates

No other disclosures are present in the document.