Jain Resource Recycling Completes Loan-to-Equity Conversion, Boosting Stake in Jain Ikon Global Ventures
Jain Resource Recycling Limited (JRRL), formerly Jain Resource Recycling Private Limited, has significantly increased its stake in its subsidiary, Jain Ikon Global Ventures FZC, following the conversion of an outstanding loan into equity shares.The transaction involves the conversion of a loan advanced by JRRL to Jain Ikon. The outstanding loan, which amounts to AED 1,70,64,000 (equivalent to about INR 44.50 Crores), is being converted into equity shares of Jain Ikon, as per the terms agreed between the parties.
This non-cash transaction, which was approved by the company's Borrowing and Investment Committee, means the company will move from holding 70.00% to 99.74% of the equity share capital of JAIN IKON. The conversion is intended to consolidate JRRL's investment in the subsidiary and facilitate the subsequent divestment of the company's entire stake in Jain Ikon.
The transaction involves a related party and the equity shares are being acquired at AED 1500 per share, representing the face value, based on a valuation report.
Jain Ikon Operational and Financial Profile
Jain Ikon Global Ventures FZC, which is a subsidiary of JRRL, operates in the gold and silver refining industry. The company is based in Sharjah, UAE, and was incorporated in May 2024.The following details summarize the profile of the subsidiary:
| Particulars | Details |
|---|---|
| Subsidiary Name | JAIN IKON GLOBAL VENTURES FZC (Jain Ikon) |
| Industry | Gold and silver refining, melting, chemical purification, and casting |
| Nature of Transaction | Conversion of outstanding loan into equity |
| Company's Shareholding (Pre-conversion) | 70.00% |
| Company's Shareholding (Post-conversion) | 99.74% |
| Cost of Acquisition | AED 1500 per equity share |
| Turnover (FY 2025-26) | AED 36,178 |
| Turnover (FY 2024-25) | AED 30,52,47,578 |
The conversion is expected to be completed within two months, pending the completion of requisite corporate and statutory formalities in India and the United Arab Emirates / Sharjah.
JAINREC Stock Price Movement
Shares of Jain Resource Recycling Limited are edging higher to ₹294.10 as of 1:29 PM today, climbing 1.98% on strong market interest. The stock continues robust trading activity, logging a total volume of 728,062 shares during the live session.Disclaimer: Due care and diligence have been taken in compiling and presenting news and market-related content. However, errors or omissions may arise despite such efforts.
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