Hindware Home Innovation Limited has increased its shareholding in Hintastica Private Limited to 96.6% following the allotment of 1,50,00,000 equity shares under a rights issue. The Board of Directors of Hintastica approved the allotment on June 4, 2026. This development follows Hindware Home Innovation's earlier approval on June 3, 2026, to subscribe to the rights issue and acquire the remaining shareholding from its joint venture partner Atlantic Société Française de Développement Thermique for approximately ₹2.78 crore.

Investment and Acquisition Structure

The rights issue subscription involves an investment of up to ₹15 crore for 1,50,00,000 equity shares at a face value of ₹10 per share. Concurrently, the company is acquiring 5,48,787 equity shares from Atlantic, which declined to participate in the rights issue and sought a complete exit. The acquisition under the Share Purchase Agreement (SPA) is anticipated to conclude within 45 days from the execution date. Upon consummation, Hintastica will cease to be a joint venture and become a wholly-owned subsidiary.

The transaction details are summarised below:

Corporate Guarantee and Termination of Agreements

To support the enhanced shareholding, the Board approved the extension of a corporate guarantee of ₹25 crore. This guarantee provides additional security to lenders for the working capital facilities availed by Hintastica and will constitute a contingent liability for the company. The existing joint venture agreement and all ancillary arrangements, including the Share Subscription and Shareholders Agreement dated March 25, 2021, will terminate upon the completion of the acquisition.

About Hintastica and Financial History

Hintastica, incorporated on November 14, 2019, operates in the Consumer Durables and Home Appliances industry. Following the divestment of its manufacturing facility in October 2025, the entity functions as a distribution and marketing-led business with a presence in India, Nepal, and Bhutan. The company proposes to continue operating the water heater business under the “hindware” brand.

Hintastica's turnover for recent periods is presented below:

Hindware Home Innovation Limited has reported a consolidated net loss of Rs 39.31 crore for the financial year ended March 31, 2026, a significant reduction from the net loss of Rs 68.77 crore in the previous year. Revenue from operations for FY26 stood at Rs 2,510.28 crore, compared to Rs 2,522.99 crore in FY25. EBITDA from continuing operations for the year stood at Rs 232.52 crore, registering a year-on-year growth of 27% with margins at 9% compared to 7% in the corresponding period last year. The Board of Directors approved the results during its meeting held on May 19, 2026.

For the quarter ended March 31, 2026, the company reported a consolidated net loss of Rs 18.87 crore, narrowing from a net loss of Rs 31 crore in the corresponding quarter of the previous year. Revenue from operations for Q4 FY26 was Rs 662.73 crore, a decrease from Rs 699.02 crore in Q4 FY25. EBITDA for the quarter stood at Rs 63 crore versus Rs 51 crore last year, up 23% year-on-year, with margins at 9% compared to 7% in Q4 FY25. The company reported a profit before tax of Rs 11.28 crore for Q4 FY26, compared to a loss before tax of Rs 27.88 crore in the same period last year.

Financial Performance

The full-year results were impacted by exceptional items, including an impairment loss of Rs 51.91 crore recognized by its joint venture, Hintastica Private Limited, and a net exceptional charge of Rs 44.28 crore related to the discontinuation of high-loss product categories.

The quarterly performance highlights year-on-year improvement:

Operational Highlights and Guidance

Management attributed the margin expansion to strategic initiatives, including premiumization and a focus on weighted dealers. The Bathware business reported revenue of Rs 1,520 crore for FY26, a year-on-year growth of 10%, with EBITDA growing 30% to Rs 157 crore. The company has guided for revenue growth in the range of 15% to 20% for the Bathware business in FY27, alongside an improvement in EBITDA margins of 1% to 2%.

The Home Innovation business, which includes kitchen appliances, reported revenue of Rs 317 crore for FY26. Following the discontinuation of loss-making categories such as air coolers and fans, the company expects this segment to turn EBITDA positive in Q1 FY27. Management also targets an 8% to 10% EBITDA margin in the consumer appliances business within the next two financial years.

The Pipes business reported revenue of Rs 673 crore for FY26. Despite challenges from raw material volatility, the company expects volume growth of 14% to 15% in FY27. On a consolidated basis, the company holds a net debt of Rs 708 crore and anticipates a substantial reduction of 30% to 40% over the next two years.

Corporate Developments

During the board meeting held on May 19, 2026, the company approved the appointment of M/s. Protiviti India Member Private Limited as internal auditors for FY27. The board also approved the appointment of Mr. Shashvat Somany as an Additional Director in the category of Non-Executive Non-Independent Director effective July 1, 2026, subject to shareholder approval. The 9th Annual General Meeting is scheduled for August 18, 2026.