Deals29 March 2026 at 01:01 pm
Setco Automotive Ltd. Approves Sale of Stake in Subsidiary for INR 185 Crores and Non-Compete Agreement for INR 70 Crores
AI Summary
Setco Automotive Ltd. has approved the sale of a 41% stake in its material subsidiary, Setco Auto Systems Private Limited (SASPL), to RSB Transmissions (I) Limited for approximately INR 185 Crores. The transaction is subject to adjustments based on net debt and working capital position of SASPL. Additionally, the company has approved a non-compete agreement with the purchaser, agreeing not to engage in any business that competes with SASPL for a period of 3 years from the date of expiry of 6 months from the closing date. The company will also change its corporate name to ‘Shilayan Industries Limited’.
Key Highlights
- Setco Automotive Ltd. to sell 41% stake in its subsidiary, Setco Auto Systems Private Limited, for approximately INR 185 Crores
- The transaction is subject to adjustments based on net debt and working capital position of SASPL
- Company has also approved a non-compete agreement with the purchaser
- The company will cease usage of the ‘Setco’ brand/trade name
- Company will change its corporate name to ‘Shilayan Industries Limited’