Setco Automotive Ltd

Setco Automotive Announces Major Restructuring & Sale 🏭

- Setco Automotive will hold an EGM on April 25, 2026, at 2:00 PM IST in Kalol, Gujarat.

- The company plans to sell its entire stake in SASPL, a material subsidiary, to RSB Transmissions (I) Limited.

- Initial sale includes 447,847 equity shares (approx. 41% stake) for about INR 185 Crores.

- Remaining 262,153 equity shares (approx. 24% stake) in SASPL will be sold later, with terms tied to EBITDA milestones.

- The transaction involves redeeming debt owed to India Resurgence Fund (IndiaRF) and issuing preference shares, with IndiaRF receiving INR 976 Crores in total.

- Non-compete agreements will be signed by key executives Harishkumar Kiritkant Sheth and Udit Sheth.

- The company's name will change to Shilayan Industries Limited upon completion of the transaction.

- A merger of subsidiary Lava Cast Private Limited into Setco Automotive is planned to enable future dividend payments.