Announcement under Regulation 30 (LODR)- Press Release for Quest Flow Controls Limited sharpens strategic focus through divestment of the subsidiary 'H2O Dynamics India Limited''
Price
▲ positive · ▼ negative · ● neutral filings · teal = economic event · numbered = multiple that day (click to pick). Times IST.
Quest Flow Controls Limited (BSE: 543982) has approved the sale of its entire stake in subsidiary H2O Dynamics India Limited to Stellarin Research and Development Private Limited for ₹7.35 crore, with completion expected within two months. H2O Dynamics contributed net revenues of ₹811.31 lakhs and a net worth of ₹134.96 lakhs in FY25. The move is part of a strategic refocus on the company's core valve and flow control systems business, particularly in defence, oil & gas, and export markets. The company highlighted strong order momentum with its order book exceeding ₹100 crore, recent entry into the Indian Navy's submarine sector, and supplies to US refineries, with API certification targeted for Q1 FY27.
Short-term: The ₹7.35 crore inflow adds cash but the loss of ₹811 lakh in subsidiary revenue may modestly impact consolidated top line. Medium-term: Positive as capital and management focus shifts to higher-margin valve business in defence and oil & gas, which the company says has strong global demand and a growing order book above ₹100 crore.