Hariyana Ship Breakers Ltd promoter Rajeev Shantisarup Reniwal increased his equity holding to 31.69% after acquiring 4,14,800 shares (6.73% of paid-up capital) from his mother, Mrs. Lalitadevi Shantisarup Reniwal.

The transaction, executed as an inter-se transfer within the promoter group, was disclosed to BSE on September 24, 2026. The filing cited Regulation 10(6) of the SEBI (Substantial Acquisition of Shares and Takeovers) Regulations, 2011, noting that the requisite prior intimation under Regulation 10(5) was inadvertently not submitted within the prescribed timeline.

Transaction details and regulatory compliance

The acquisition occurred in two tranches: 30,000 shares on August 18, 2026, and 3,84,800 shares on August 20, 2026. As the transfer took place between immediate relatives within the promoter group, it qualified for exemption from making an open offer under Regulation 10(1)(a)(i) and (ii) of the SAST Regulations. No consideration was involved as the shares were transferred by way of gift.

The acquirer expressed regret for the inadvertent omission regarding the prior disclosure timeline and assured due care for future compliance. The company has taken note of the intimation and submitted it to the stock exchange for records in accordance with SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015.

Promoter group holding stability

Data from the Regulation 29(1) disclosure confirms that while individual stakes shifted, the aggregate promoter group holding remained static. Before the acquisition, the acquirer along with Persons Acting in Concert (PACs) held 46,21,814 shares, representing 74.95% of total voting capital. After the acquisition, this figure remained unchanged at 46,21,814 shares or 74.95%.

The PACs listed in the filing include Sanjeev Shantsarup Reniwal, Shantsarup R Reniwal, Shantsarup Reniwal & Sons, Shalini Sanjeev Reniwal, Unnati Reniwal, Sweety R Reniwal, Rakesh Shantsarup Reniwal, and the transferor, Lalitadevi S Reniwal.

Shareholding pattern changes

The following table outlines the shift in shareholding percentages resulting from the gift transfer:

What the numbers show

The data reveals a consolidation of promoter holding rather than a net change in total promoter group ownership. While the acquirer's individual stake rose from 24.96% to 31.69%, the seller's holding dropped to zero. This indicates that the entire block of 4,14,800 shares previously held by Mrs. Lalitadevi Reniwal was transferred to her son, Mr. Rajeev Reniwal, effectively concentrating voting rights within a single immediate family member without altering the aggregate promoter group percentage.

Hariyana Ship Breakers Limited reported a standalone net profit of ₹441.15 lakh for the quarter ended June 30, 2026, marking a significant turnaround from the ₹68.32 lakh profit in Q1FY25. The Board of Directors, including Managing Director Rakesh Reniwal and Director Unnati Reniwal, approved the unaudited financial results on August 12, 2026, pursuant to Regulation 30 and Regulation 33 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015. Despite the profit surge, the company remains without active business operations, with management currently exploring suitable opportunities to recommence activities.

The financial performance was entirely driven by other income rather than core operations. Revenue from operations stood at nil for both standalone and consolidated figures, consistent with the previous quarter and year. Total income for the standalone entity was ₹551.64 lakh, comprising solely of other income, compared to ₹217.10 lakh in Q1FY25. Expenses were minimal at ₹56.63 lakh, primarily consisting of employee benefits (₹6.86 lakh), depreciation (₹16.03 lakh), and other expenses (₹33.20 lakh). Finance costs dropped significantly to ₹0.55 lakh from ₹54.06 lakh in the prior year quarter.

Consolidated results showed a net profit of ₹441.54 lakh, up from ₹68.32 lakh in Q1FY25. This figure includes a share of profit from associates amounting to ₹308.23 lakh, compared to a loss of ₹14.93 lakh in the same period last year. The associates contributing to this income include Goyal Hariyana Realty, Orchid Lakeview Developers, Whitefield Projects, and Swastik Developers. The subsidiary, Hariyana Air Products, contributed ₹7.90 lakh to the consolidated profit.

What the Numbers Show

The stark divergence between zero operational revenue and high profitability highlights the company’s current reliance on non-operating assets and investments. With 90.46% of total assets tied up in capital contributions to partnership firms and subsidiaries—totaling ₹145.08 crore as on June 30, 2026—the company’s financial health is heavily dependent on these external entities. The significant drop in finance costs to ₹0.55 lakh suggests reduced debt servicing obligations, likely linked to the recent cancellation of its working capital limit.

Auditor Emphasis of Matter

Statutory auditors S N Shah & Associates issued a limited review report with specific emphases on material matters. First, they noted an unreturned advance of ₹1.21 crore accepted in FY2017-18 for a joint venture that never materialized. Second, the company successfully surrendered its ₹150 crore working capital borrowing limit from Punjab National Bank, receiving a No Dues Certificate dated August 04, 2026. Third, auditors highlighted recoverability risks associated with ₹126.21 crore in loans granted by one of the partnership firms to other corporates, which constitutes a major portion of the company’s asset base. These disclosures underscore the speculative nature of the current asset portfolio despite the reported quarterly profits.