Setco Automotive Completes Sale of Stake in SASPL, Ceding Subsidiary Status
Setco Automotive Limited announced the successful closing of a significant transaction involving its subsidiary, Setco Auto Systems Private Limited (SASPL). The deal involved the transfer of a substantial stake in SASPL to RSB Transmissions (I) Limited.The closing of the transaction, initially contemplated under the Share Purchase and Subscription Agreement (SPSA), was confirmed to have taken place on May 27, 2026.
Under the terms of the SPSA, the Company completed the sale and transfer of 4,47,847 equity shares of SASPL to the Purchaser, RSB Transmissions (I) Limited. This sale represents approximately 41% of the paid-up share capital of SASPL on a fully diluted basis.
Following the transaction, Setco Auto Systems Private Limited ceased to be a subsidiary of Setco Automotive Limited, effective from the closing date.
The arrangement, which also included a Shareholders' Agreement and a Non-compete agreement, granted the Purchaser full control over SASPL. According to the Company, RSB Transmissions (I) Limited acquired control over SASPL, including the right to control the composition of the board of directors and the management of SASPL, in line with the terms outlined in the agreement.
SETCO Stock Price Movement
On Wednesday, SETCO shares edged higher, closing at ₹27.51 after rallying 1.96% for the day. The stock maintained stability throughout the session, matching its opening price of ₹27.51 for its trading range.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.
The information provided is for general informational purposes only and does not constitute investment advice, a recommendation, or an offer to buy or sell any securities. Readers are advised to rely on their own assessment and judgment and consult appropriate financial advisers, if required, before taking any investment-related decisions.
Any views, opinions, or statements expressed, where applicable, are those of the respective analysts or experts and do not reflect the views of this website. The website has no association with such viewpoints and does not assume any responsibility for them.