Greaves Cotton Limited has informed the Exchange about Acquisition
GREAVESCOT · price
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Greaves Cotton Limited has approved an additional investment of approximately Rs. 50 Crores in its wholly owned subsidiary, Greaves Finance Limited (GFL), through subscription to equity shares on a rights basis. GFL is a Non-Banking Financial Company (NBFC) engaged in retail vehicle financing for electric 2-wheelers and 3-wheelers, plus lease financing for last-mile delivery operators. The transaction is a related party transaction conducted at arm's length. GFL's turnover grew from Rs. 5.75 Crores in FY24 to Rs. 39.52 Crores in FY26, with net worth of Rs. 103.63 Crores. The investment will be used for general corporate purposes and on-lending activities. No change in shareholding will occur as GFL remains a wholly owned subsidiary. The deal is expected to close by June 5, 2026.
This is an internal capital infusion into an existing subsidiary rather than a new acquisition. Shareholders should note this strengthens Greaves Finance's lending capacity in the EV financing space but does not change the parent company's ownership structure.