ACE Transfers Heavy Cranes Business (2.58% Revenue) to JV with KATO

Action Construction Equipment Limited (ACE) has approved the execution of a Business Transfer Agreement (BTA) to transfer its Heavy Cranes Business to ACE KATO Private Limited, a joint venture company with KATO WORKS CO., LTD., Japan. The transfer will occur on a slump sale basis as a going concern. The consideration for this transfer will be paid by the JV Company to ACE through the issue of ACE subscription shares. The Heavy Cranes Business, which includes manufacturing truck, crawler, and rough terrain cranes, contributed ₹85.77 Crore (2.58%) to ACE's standalone revenue in FY2024-25. The transaction is a related party transaction, conducted at arm's length, and is expected to be completed on or before June 30, 2026. Post-closing, ACE and KATO will each hold 50% of the JV Company's issued and paid-up capital.