Setco Automotive Ltd

Setco Automotive Sells 41% Stake in Subsidiary for ₹185 Crores 💼

• Sold 41% stake in subsidiary SASPL to RSB Transmissions for approximately ₹185 Crores

• Potential deferred payments up to ₹71 Crores based on EBITDA performance milestones

• Remaining 24% stake in SASPL to be sold by FY2027-28 for up to ₹255 Crores, subject to EBITDA targets

• Non-compete agreement with RSB Transmissions provides ₹70 Crores payment for 3-year restriction

• India Resurgence Fund sells its 35% stake in SASPL for ₹976 Crores as part of the overall deal

• Wholly-owned subsidiary LCPL retains manufacturing capacity and signs supply deal with SASPL for 1,000 MT/month

• Company to change name to Shilayan Industries Limited and relocate registered office post-transaction