Aro Granite Industries has initiated a postal ballot process to seek shareholder approval for the slump sale of its existing Jaipur unit to United Stones Private Limited. The transaction, valued at ₹67.00 crore, represents a strategic move to monetize a non-core asset and unlock trapped economic capital.

The Board of Directors recommended the resolution in its meeting held on September 7, 2026. The sale requires approval as a special resolution under Section 180(1)(a) of the Companies Act, 2013 and Regulation 37A of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015.

Transaction Valuation and Rationale

The proposed consideration of ₹67.00 crore exceeds the fair value of the industrial property as determined by two independent registered valuers. Mr. O.P. Verma valued the unit at ₹62.56 crore in a report dated September 1, 2026, while M/s. D.K. Nagpal & Associates assigned a fair value of ₹63.28 crore in a report dated August 31, 2026. Both valuations employed the market approach.

The company cites several rationales for the disposal, including a focus on core business segments, better realization of value compared to continued operations, and the use of proceeds for debt reduction and working capital. Management expects the streamlined balance sheet to improve return ratios such as ROCE and ROE.

Related Party Transactions

The postal ballot also seeks approval for ordinary resolutions regarding related party transactions with Aro Granite International Inc. USA (AGI). AGI functions as the company’s export marketing and distribution arm in the United States. The proposed transactions involve the sale of granite tiles, slabs, and quartz slabs on an arm’s length basis.

For FY26-27, the aggregate value of these transactions is capped at ₹5,000 lakh. While this amount does not exceed the materiality threshold of 10% of the annual consolidated turnover under SEBI Listing Regulations, the company is seeking shareholder approval as a matter of abundant caution. In FY25-26, transactions with AGI totaled ₹567.96 lakh, rising to ₹427.43 lakh in the current financial year up to the quarter preceding the approval request.

Voting Schedule

Shareholders holding shares as of the cut-off date, September 11, 2026, are eligible to vote via remote e-voting through CDSL. The voting period commences on September 21, 2026, at 10:00 am and concludes on October 20, 2026, at 5:00 pm. Results will be declared on or before October 22, 2026.

What the Numbers Show

The proposed sale price commands a premium of approximately 7% over the higher of the two independent valuations (₹63.28 crore). This premium suggests strong buyer interest or strategic value attached to the Mahindra World City SEZ plot, potentially allowing Aro Granite Industries to realize more than the standalone asset value estimated by valuers.

Aro Granite Industries shareholders approved all seven resolutions at its 38th Annual General Meeting held on September 11, 2026. The voting process, scrutinized by S Panigrahi & Associates, saw high participation from promoter groups across all agenda items.

Voting Participation Overview

The company had 11,700 shareholders on the record date of September 4, 2026. The total paid-up share capital stood at ₹15.3 crore, divided into 153 lakh equity shares of ₹10 each.

Voting occurred through remote e-voting and e-voting on the day of the AGM via video conference. A total of 158 members participated in the voting process:

• 147 members participated via remote e-voting.
• 11 members participated in e-voting on the day of the AGM.

Promoter group attendance was recorded through video conferencing, with 4 promoter shareholders attending virtually. Among public shareholders, 75 attended the meeting via video conference.

Board Re-appointments

Shareholders approved the re-appointment of key board members through ordinary and special resolutions. All resolutions related to board appointments received overwhelming support from the promoter group, which holds 62.86 lakh shares.

Key Appointments Approved

• Mrs. Sujata Arora: Re-appointed as Director retiring by rotation (Ordinary Resolution).
• Mr. Sunil Kumar Arora: Re-appointed as Managing Director for three years effective April 1, 2027 (Special Resolution).
• Mr. Sahil Arora: Re-appointed as Whole-Time Director for three years effective November 1, 2026 (Special Resolution).

For these resolutions, the promoter group voted in favor with 100% support. Public shareholders also showed strong backing, with over 98% of votes polled in favor for each appointment.

Related Party Transactions

The AGM approved ordinary resolutions for related-party transactions involving unsecured loans from promoters. These resolutions required promoter abstinence from voting.

Since promoters abstained from voting on these specific resolutions, the total votes polled dropped significantly to approximately 4.4 lakh shares, representing roughly 2.88% of outstanding shares. Despite lower participation, public shareholders approved all loan-related transactions with nearly 98% support.

Financial Statements Adoption

The adoption of audited standalone financial statements for the year ended March 31, 2026, was passed as an ordinary resolution. This resolution received 67.11 lakh votes in favor out of 67.20 lakh votes polled, translating to a 99.87% approval rate. Only 8,467 votes were cast against the resolution.

What the Numbers Show

The voting data reveals a distinct bifurcation in shareholder engagement based on resolution type. While promoter-led resolutions (board appointments) saw massive participation with over 67 lakh votes polled, related-party transaction resolutions saw participation drop to under 4.4 lakh votes due to mandatory promoter abstention. However, the consistency in approval rates—hovering around 98-99% across both categories—indicates broad alignment between promoter interests and public shareholder sentiment.