Valiant Organics Limited Board Approves Cessation of Partnership in DVLLP and Related Transactions
On May 19, 2026, the Board of Directors of Valiant Organics Limited held a meeting and passed resolutions approving the company's proposed cessation as a partner of Dhanvallabh Ventures LLP (DVLLP) and the associated material related party transaction.The Board noted the proposed cessation of Valiant Organics Limited as a partner of DVLLP and the disposal of its partnership interest in the entity. The Board further noted that, upon the cessation being effective according to the definitive documents executed between the relevant parties, DVLLP shall cease to be a subsidiary of Valiant Organics Limited.
Related Party Transaction Details
The Board accorded its approval to enter into a proposed material related party transaction with DVLLP, which involves the company's cessation as a partner. This transaction was based on the approval and recommendation of the Audit Committee. The proposed transaction is valued at fair market value on an arm's length basis and was determined to be in the best interests of the Company and its stakeholders.In exchange for the Company's capital contribution and its share in the undistributed profits or losses in DVLLP, the Settlement Amount attributable to Valiant Organics Limited will be discharged by DVLLP transferring 1,86,07,531 equity shares of Valiant Laboratories Limited to the Company.
The transaction was supported by a valuation report issued by GBCA & Associates LLP, Chartered Accountants, dated May 19, 2026.
Financial Contribution of DVLLP (Fiscal 2026)
The financial details regarding the turnover and net worth of DVLLP for Fiscal 2026 are provided below:| Particulars | Amount (Rs. in Crores) | Contribution on Consolidated Basis as on March 31, 2026 (%) |
|---|---|---|
| 0.3756 | 0.05% | |
| 83.79 | 11.34% |
In consideration of the disposal of its partnership interest, the settlement amount is in the form of equity shares of Valiant Laboratories Limited, to be transferred in the manner and on the terms set out in the definitive documents.
Transaction Timeline and Status
The definitive documents in relation to the proposed cessation and settlement are proposed to be entered into upon finalization of terms and receipt of necessary approvals. The company expects the proposed transaction to be completed on or before a date mutually agreed in the definitive documents, within 60 days of receiving shareholder approval, and in any case, after receiving requisite approvals.VALIANTORG Stock Price Movement
On Tuesday, Valiant Organics Limited shares slipped by 0.65% to close at ₹301.6, shedding ₹1.95 from the previous session's close. The stock saw significant activity, with 66,110 shares traded during the 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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