NSE Symbol
VINATIORGA / Series: EQ
Vinati Organics Limited has made an additional investment in its wholly-owned subsidiary Veeral Organics Private Limited (VOPL) through subscription to a rights issue. The company subscribed to 90,30,000 fully paid-up equity shares of face value ₹10 each at par, amounting to ₹9,03,00,000 (Rupees Nine Crore Three Lakh only).
Investment Details
- Number of shares: 90,30,000 equity shares
- Face value: ₹10 per share
- Total investment amount: ₹9,03,00,000
- Consideration type: Cash consideration
- Pricing: At par value
- Share ranking: The new shares rank pari-passu with existing equity shares of VOPL
Subsidiary Information
- Name: Veeral Organics Private Limited (VOPL)
- Incorporation date: October 5, 2020 under the Indian Companies Act, 2013
- Relationship: Wholly Owned Subsidiary of Vinati Organics Limited
- Industry: Chemical industry
- Business: Manufacturing of Organic Fine Specialty Chemicals
- Turnover history:
- FY 2023-24: ₹0.09 Crore
- FY 2024-25: ₹10.55 Crore
- FY 2025-26: ₹21.94 Crore
Transaction Characteristics
- Related party transaction: Yes, as VOPL is a wholly-owned subsidiary
- Arm's length basis: The transaction is conducted at arm's length
- Regulatory applicability: Related Party Transaction provisions under SEBI (LODR) Regulations 2015 are not applicable for further acquisition of equity shares in VOPL
- Ownership impact: No change in shareholding percentage - VOPL continues to remain 100% wholly-owned subsidiary
- Government approvals: Not required
- Completion timeline: Not applicable as VOPL is already a wholly-owned subsidiary
Business Alignment
The investment aligns with Vinati Organics' main business line as Veeral Organics manufactures Organic Fine Specialty Chemicals, which is consistent with the parent company's business operations.