Grindwell Norton Limited has announced the mutual termination of key agreements with Radiance MH Sunrise Thirteen Private Limited, marking the end of a green energy sourcing arrangement that was originally established in 2024. The termination, effective April 9, 2026, was disclosed to stock exchanges under Regulation 30 of the SEBI Listing Regulations.

Agreement Details and Structure

The terminated agreements comprised two key components designed to facilitate green energy sourcing through a Group Captive arrangement. The Power Purchase Agreement and Share Subscription Agreement were specifically structured to enable Grindwell Norton to source renewable energy from solar power generation facilities operated by Radiance MH Sunrise Thirteen Private Limited.

Reasons for Termination

The termination was driven by operational challenges faced by the Power Producer Company. According to the disclosure, the intended purpose of the agreements became unviable due to Radiance MH Sunrise Thirteen Private Limited's inability to meet the Commercial Operation Date requirements specified in the Power Purchase Agreement. This failure to commence green energy supply as per the agreed timeline led both parties to mutually agree on termination.

Financial and Operational Impact

Grindwell Norton has explicitly stated that the termination will not result in any material impact on the company's financial performance or operational activities. This assessment suggests that the company had adequate contingency plans or alternative arrangements to address its energy requirements without significant disruption to its business operations.

Regulatory Compliance

The termination disclosure follows previous communications dated July 18, 2024, and September 13, 2024, indicating that stakeholders had been kept informed of developments related to these agreements. The company has fulfilled its disclosure obligations under Regulation 30 of the SEBI Listing Regulations, ensuring transparency with investors and regulatory authorities regarding this corporate development.

Grindwell Norton Limited has received a tax order from the Central Goods and Services Tax (CGST) authorities requiring payment of ₹5.36 lakh. The company disclosed this development under Regulation 30 of SEBI Listing Regulations on April 3, 2026.

Order Details and Financial Impact

The order from the Office of the Superintendent of CGST and Central Excise pertains to excess Input Tax Credit (ITC) claimed by the company during the financial years 2019-20 to 2023-24. The total liability comprises two equal components:

Company Response and Next Steps

Grindwell Norton has indicated it is evaluating all available options, including filing an appeal against the CGST order. The company's management has assessed that this order will not have any material impact on the financial, operational, or other activities of the organization.

Regulatory Compliance

The disclosure was made in compliance with SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015. Company Secretary Girish T. Shajani signed the regulatory filing, ensuring proper notification to both the National Stock Exchange of India Limited and BSE Limited.

The order was received on April 3, 2026, and the company has promptly informed the stock exchanges about this development as required under the listing regulations.