KIL hands over the ownership stake in SEL to M&M through an inter-se transfer between the promoters

Kirloskar Industries Ltd (KIL) announced the proposed divestment of its 17.41 percent stake in Swaraj Engines Ltd (SEL) to Mahindra & Mahindra Ltd (M&M), on September 21, 2022.

The divestment is proposed through inter-se transfer between the promoters through off-market transactions as per SEBI (Substantial Acquisition of Shares and Takeovers) Regulations, 2011, (SEBI Takeover Code), at a price of ~ 1,400 per share. share, i.e. the limit specified in the code.

After the transfer, the company’s shareholding and consequent voting rights in SEL will decrease from 17.41 percent to 0.00 percent of SEL’s share capital.

Mahesh Chhabria, Managing Director, KIL said, “We are delighted to enter into this deal with M&M. Since SEL shares were not core to our holding and were illiquid, we decided to monetize our shareholding by selling it through a off-market transaction to the co-promoter. We plan to invest the proceeds of this transaction in our business and group companies/subsidiaries at a later date.”

Kirloskar Industries Ltd is a public limited company listed on the Bombay Stock Exchange and the National Stock Exchange. Founded in 1978, the company engages in wind power generation and has diversified into property development activities through its wholly owned subsidiary, Avante Spaces Ltd. The company also invests in securities in group companies and has leased business premises.

Published it

23 September 2022

Leave a Reply

Your email address will not be published.