Pursuant to Regulation 30 clause 15(a)(ii), we are hereby submitting the presentation of Investor Call for an Update on the de-merger of SKF India Limited ("the company") scheduled to be ....
Awaiting price reaction for this filing.
SKF India has shared an investor presentation outlining its plan to demerge into two separate listed companies — one for the Automotive business and a new entity called SKF Industrials Ltd. Each existing shareholder of SKF India will receive one share of SKF Industrials for every share held, with no change in overall shareholding. For FY24, SKF India reported revenue of ₹45,701 million, EBITDA of ₹8,116 million (18% margin), and PAT of ₹5,518 million, with a net cash position of ₹12,221 million and RoCE of 27.4%. The Industrial business (₹16,722 million revenue, 18.7% EBITDA margin) and Automotive business (₹28,979 million revenue, 17.2% EBITDA margin) are positioned as distinct high-growth plays, driven by EV adoption, Make in India, railway expansion, and renewable energy targets. The demerger has received Board approval and is currently progressing through NCLT and regulatory approvals, with listing expected thereafter.
Shareholders will hold shares in two listed entities post-demerger, potentially unlocking value by allowing distinct investor bases to value the faster-growing Industrial business separately from the Automotive business. Near-term, the stock may react to NCLT and listing milestones, but the actual share allocation depends on successful completion of regulatory approvals.