The Exchange has received the Disclosures of reasons for encumbrance by promoter of listed companies under Reg. 31(1) read with Regulation 28(3) of SEBI (SAST) Regulations, 2011 on May ....
TVSHLTD · price
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Promoter VS Trust (Mr. Venu Srinivasan, Trustee) has created a pledge over 13,00,000 equity shares of TVS Holdings (6.42% of total share capital) in favour of JM Financial Credit Solutions Limited, an NBFC, to secure a loan facility of Rs. 525 crore. The pledge agreement was dated 5th May 2025, with the actual encumbrance created on 8th May 2025. After this, VS Trust's total encumbered shares stand at 34,73,575 (17.16% of total share capital and 23.06% of promoter shareholding). The funds are intended for investment, acquisition of shares, and extension of loans and advances in group companies, including transaction-related costs. The promoter group's overall holding remains at 74.45%, with a comfortable security cover of 2.25x based on the share value of Rs. 1,181.77 crore.
The promoter is leveraging its stake to raise Rs. 525 crore for group-level activities including potential share acquisitions and inter-corporate funding. While the pledge level (23% of promoter holding) remains moderate and below the 50% threshold, it warrants monitoring—further pledges or a sharp decline in share price could heighten invocation risk.