Kajaria Ceramics Limited has completed the acquisition of an additional 10% equity stake in Kajaria Surfaces Private Limited, making it a wholly-owned subsidiary. The company disclosed this development to the stock exchanges on March 25, 2026, pursuant to SEBI Listing Regulations.

Transaction Overview

The acquisition involved purchasing 9,50,000 equity shares representing 10% of Kajaria Surfaces Private Limited. This strategic move increased Kajaria Ceramics' shareholding from 90% to 100%, with the transaction completed on March 24, 2026.

About Kajaria Surfaces Private Limited

Kajaria Surfaces Private Limited is a relatively new entity in the tiles manufacturing sector, incorporated under the Companies Act, 2013 on December 11, 2023. Despite being a young company, it has demonstrated strong operational performance in its first full year of operations.

Regulatory Compliance and Approvals

The acquisition was structured as a related party transaction, as the equity shares were acquired from existing shareholders of Kajaria Surfaces, including a shareholder who is also a Director of Kajaria Infinity Private Limited, a subsidiary of Kajaria Ceramics. The company ensured full regulatory compliance by:

• Obtaining prior approval from the Audit Committee
• Conducting the transaction on an arms' length basis
• Meeting all disclosure requirements under SEBI Listing Regulations

No additional governmental or regulatory approvals were required for completing this acquisition.

Strategic Rationale

The primary objective of this acquisition was to establish complete ownership and control over Kajaria Surfaces. By converting it into a wholly-owned subsidiary, Kajaria Ceramics can now exercise full operational and strategic control over the tiles manufacturing operations of Kajaria Surfaces.

The acquisition aligns with Kajaria Ceramics' core business of tiles manufacturing, representing a strategic consolidation within its existing business vertical rather than diversification into new sectors.

Kajaria Ceramics Limited has issued a clarification to BSE Limited regarding the recent significant increase in trading volumes of its shares across exchanges. The response, dated March 24, 2026, addresses the stock exchange's inquiry about unusual market activity in the company's securities.

Company's Official Response

In its formal communication to BSE, Kajaria Ceramics stated that it has no undisclosed events, information, or developments that could impact the company's operations or performance. The company emphasized its compliance with disclosure requirements under Regulation 30 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015.

Market-Driven Volume Increase

The company explicitly stated its inability to provide specific reasons for the volume surge, attributing the increased trading activity to market-driven factors. Kajaria Ceramics clarified that it does not possess any information that could explain the significant increase in share volumes across exchanges.

Regulatory Compliance

The response demonstrates the company's adherence to regulatory requirements by promptly addressing the exchange's query. The communication confirms that all price-sensitive information requiring disclosure under SEBI regulations has been appropriately shared with the exchanges and stakeholders.

The clarification was signed digitally by Ram Chandra Rawat, who serves as the Chief Operating Officer (Administration & Technology) and Company Secretary, ensuring proper authorization and documentation of the company's official position on the matter.