Shri Dinesh Mills: Family Settlement & FELT Business Demerger Approved
Shri Dinesh Mills Limited received a disclosure from its promoters, Mr. Bharatbhai Upendrabhai Patel and Mr. Nimish Upendrabhai Patel, regarding a family settlement agreement (FSA) executed on April 29, 2026. The company is not a party to the FSA, which aims to maintain peace and harmony between the BUP and NUP families. Concurrently, the Board of Directors granted in-principle approval for the segregation and demerger of the company's FELT business into a separate, subsequently listed legal entity. This will be implemented through a scheme of arrangement, subject to approvals from the NCLT and other regulatory authorities. The residual business will remain with Shri Dinesh Mills. Interim measures include segregating business verticals and designating directors to oversee the FELT and Residual Businesses for a smooth transition.
Key Highlights
- Promoters executed a family settlement agreement for internal harmony.
- Board granted in-principle approval for FELT business demerger.
- FELT business will be spun off into a separate, listed entity.
- Interim measures include business segregation and director oversight.
- Demerger is subject to NCLT and other regulatory approvals.