Exxaro Tiles Limited has expanded its international presence by incorporating a wholly owned subsidiary in Dubai. The company announced the establishment of ARESTA GENERAL TRADING FZE on 23rd March 2026, marking a strategic move to enhance its tiles trading operations in the Middle East region.

Subsidiary Details and Structure

The newly incorporated subsidiary operates under License No: 359777418 and is established at the Jebel Air Free Zone in Dubai, United Arab Emirates. The company structure reflects a focused approach to international expansion in the tiles trading sector.

Business Objectives and Operations

The subsidiary has been incorporated with the primary objective of undertaking trading activities of all types of tiles. This business focus aligns directly with Exxaro Tiles Limited's core operations and expertise in the tiles manufacturing and trading sector. The company has not yet commenced business operations, indicating this is a fresh venture positioned for future growth.

Financial and Regulatory Framework

The subsidiary will be funded through cash consideration, with Exxaro Tiles Limited committed to paying AED 1,00,000 for the subscription of 1000 shares. As a wholly owned subsidiary, ARESTA GENERAL TRADING FZE is classified as a related party transaction under regulatory guidelines.

Strategic Implications

The incorporation of this Dubai-based subsidiary represents Exxaro Tiles Limited's commitment to expanding its international footprint in the tiles trading business. The strategic location in Dubai's free zone provides access to regional markets and favorable business conditions for trading operations. The subsidiary's focus on tiles trading activities complements the parent company's existing business model and manufacturing capabilities.

Exxaro Tiles Limited has disclosed receiving a force majeure communication from Sabarmati Gas Limited regarding gas supply restrictions affecting its Talod manufacturing units. The company filed this disclosure under Regulation 30 of SEBI Listing Regulations on March 11, 2026.

Force Majeure Declaration Details

Sabarmati Gas Limited has declared force majeure due to the ongoing Middle East conflict and its impact on global energy markets. The gas supplier has imposed restrictions on Daily Contracted Quantity and limitations on Non-MGO gas usage until further notice.

Operational Impact Assessment

The company has provided a detailed assessment of the expected impact through its regulatory filing. According to the disclosure, the force majeure situation may cause temporary and partial impact on production activities at the Talod units.

Mitigation Strategies

Exxaro Tiles has outlined its response strategy to address the gas supply constraints. The company is actively evaluating and implementing alternate fuel options and operational arrangements to ensure business continuity.

The management emphasized that based on current assessment, no material impact is anticipated on overall business operations. The company maintains optimum inventory levels, allowing dispatches to continue as usual despite the supply restrictions.

Regulatory Compliance

The disclosure was made pursuant to Regulation 30 read with Schedule III of SEBI Listing Obligations and Disclosure Requirements Regulations, 2015. Managing Director Mukeshkumar B. Patel signed the communication, confirming the company's commitment to transparent stakeholder communication.

Exxaro Tiles has committed to closely monitoring the situation and providing further updates as material developments occur regarding the force majeure situation.