Megatherm Induction Approves Auditor Reappointment, Loan Agreement, and New Joint Venture
Megatherm Induction Limited's Board of Directors approved several significant strategic matters on August 1, 2026. These decisions included the reappointment of a statutory auditor, the approval of a loan agreement with a related party entity, and the incorporation of a new joint venture company focused on industrial manufacturing.The Board meeting concluded by ratifying the appointment of M/s. M S K A & Associates LLP as Statutory Auditors for the company. The firm, previously known as M S K A & Associates, was reappointed for a second consecutive term spanning five years. This appointment is set to cover the period from the conclusion of the 16th Annual General Meeting until the conclusion of the 21st Annual General Meeting.
Details regarding the auditor reappointment are provided in the table below:
| Particulars | Detail |
|---|---|
| Name of Statutory Auditor | M/s. M S K A & Associates LLP (formerly known as M S K A & Associates), Chartered Accountants |
| Date of Reappointment | August 1, 2026 |
| Terms of Reappointment | Second term for five consecutive years |
In a related corporate action, the Board approved entering into an unsecured loan agreement with Megatherm Cyprium INC. The purpose of this agreement is to secure funds for operational expenditures and working capital requirements. The size limit for this agreement was set at not exceeding USD 5,00,000. The transaction falls under the category of a related party transaction conducted between joint venture entities on an arm's length basis.
Megatherm Induction also approved the incorporation of Sictech India Private Limited, marking a new industrial and manufacturing partnership. This joint venture involves Smart Induction Converter Technologies S.L. (SicTech). Megatherm will hold 49% shares in the proposed JV company, while SicTech will hold the remaining 51%.
The collaboration is focused on establishing a long-term sustainable industrial platform for induction converter modules and related systems in India. SicTech, which is based on Discrete Power Semiconductors (SicMosfet), will serve as the technology owner and licensor of the intellectual property. Megatherm Induction Limited will act as the industrial and manufacturing partner, serving as the operational manager of the JV company subject to Board supervision.
Key details regarding the new joint venture are summarized in the table below:
| Particulars | Detail |
|---|---|
| JV Partner Name | Smart Induction Converter Technologies S.L. (SicTech) |
| Megatherm Shareholding | 49% |
| SicTech Shareholding | 51% |
| Scope of Business | Creating a long-term, sustainable industrial joint venture in India focused on manufacturing and assembly of induction converter modules |
| Basis of Consideration | Royalty |
MEGATHERM Stock Price Movement
On Friday, shares of Megatherm Induction Limited slipped, settling at ₹209.65 after shedding 0.05% in the session. The stock traded a volume of 26,400 shares, finishing close to the day’s low of ₹207.05.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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