ELGIRUBCONSEElgi Rubber Company Limited· TyresMediumNeutral
Announced Fri, 29 May · 19:14 IST

Elgi Rubber Company Limited has informed the Exchange about execution of Memorandum of Agreement for sale of land property

Core Business DivestedStrategic Transactions View source PDF

ELGIRUBCO · price

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Price reaction · full curve 14 horizons · vs prior close
-2.3%1-day move
₹48.50
prior close
₹47.50
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AI summary

Elgi Rubber Company has executed a Memorandum of Agreement on 27th May 2026 for selling 75 cents of land (out of total 7.24 acres) along with building and fixtures located in Trichy Road, Coimbatore to Mr. S. Senthilnathan, Salem, an unrelated third party. The total sale consideration is Rs. 43.50 crores, with an advance of Rs. 10.06 crores already received on 29th May 2026. The transaction was previously approved by shareholders through a postal ballot special resolution dated May 5, 2023. The sale is classified as disposal of non-core assets and is expected to complete by June 30, 2026.

Likely market impact

The sale of non-core land assets for Rs. 43.50 crores will bring in cash inflow but does not affect the company's core rubber business operations. The transaction is not a related party deal and has received prior shareholder approval.