Aequs Limited has made a further investment in its wholly owned subsidiary, Aequs Engineered Plastics Private Limited (AEPPL), through a rights issue announced on March 30, 2026. The investment forms part of the company's strategic utilization of IPO proceeds to strengthen its subsidiary operations.
Investment Details
The company has provided comprehensive details of the investment transaction as required under SEBI regulations:
Parameter: Details Shares Subscribed: 53,67,883 equity shares Price Per Share: ₹10.00 Total Investment: ₹5,36,78,830 Payment Mode: Cash Shareholding Impact: No change - remains wholly owned subsidiary
About Aequs Engineered Plastics Private Limited
AEPPL operates in the manufacturing sector, specifically engaged in producing plastic products, parts and toys. The subsidiary was incorporated on February 10, 2015, and has been operating as a wholly owned subsidiary of Aequs Limited.
Financial Performance Overview
The subsidiary's recent financial performance shows the following trend:
Financial Year: Total Income FY 2024-25: ₹54.70 crore FY 2023-24: ₹107.60 crore FY 2022-23: ₹135.60 crore
As of March 31, 2025, AEPPL reported a turnover of ₹54.65 crore, with a loss after tax of ₹28.48 crore and a net worth of negative ₹4.36 crore.
Investment Rationale and Utilization
The investment represents a strategic deployment of IPO proceeds as outlined in Aequs Limited's prospectus dated December 5, 2025. The funds will be specifically utilized to:
Meet AEPPL's working capital requirements
Support operational and business needs
Strengthen the subsidiary's financial position
Regulatory Compliance
The transaction has been structured in compliance with SEBI regulations. As AEPPL is a wholly owned subsidiary, the investment falls under the provisions of Regulation 23(5) of SEBI Listing Obligations and Disclosure Requirements Regulations, 2015, and does not require treatment as a related party transaction.
The company has confirmed that no governmental or regulatory approvals are required for this investment, and the promoter group has no additional interest in AEPPL beyond the existing shareholding structure.
Aequs Limited has successfully completed its acquisition of a 50% stake in Aequs Foundation, marking a significant corporate development for the company. The transaction was finalized on March 27, 2026, following the company's initial intimation to stock exchanges on February 23, 2026.
Transaction Details
The acquisition involved the purchase of 1,000 equity shares from Hubballi Durable Goods Cluster Private Limited through a secondary transaction. The key parameters of the deal are outlined below:
Parameter: Details Number of Shares: 1,000 equity shares Stake Acquired: 50% of total share capital Face Value per Share: INR 10 Total Consideration: INR 10,000 Transaction Type: Secondary transaction Seller: Hubballi Durable Goods Cluster Private Limited
Regulatory Compliance
The company fulfilled its regulatory obligations by notifying both major stock exchanges about the completion of this acquisition. The intimation was made under Regulation 30 of the Securities and Exchange Board of India (Listing Obligations and Disclosure Requirements) Regulations, 2015.
The announcement was signed by Ravi Mallikarjun Hugar, Company Secretary and Compliance Officer, confirming that the transfer of equity shares in favor of Aequs Limited has been duly completed. The company has also made this information available on its official website for stakeholder access.
Corporate Structure Impact
With this acquisition, Aequs Limited now holds a 50% ownership stake in Aequs Foundation, representing a strategic addition to the company's portfolio. The transaction represents the completion of a process that was initiated in February 2026, demonstrating the company's commitment to expanding its corporate presence through strategic acquisitions.
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