L.K. Mehta Polymers Limited has incorporated a wholly owned subsidiary, L.K. Mehta Green Private Limited, marking its strategic entry into the renewable energy and sustainability sector. The Ministry of Corporate Affairs issued the Certificate of Incorporation on August 5, 2026, enabling the company to pursue business diversification beyond its core polymer operations. This move aims to strengthen long-term growth strategies by capitalizing on emerging opportunities in green technologies and recycling.

The incorporation follows the Board of Directors' approval granted on June 29, 2026. The company disclosed the formation under Regulation 30 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, notifying the BSE Limited of the new entity's establishment. The transaction is classified as a related party transaction due to the wholly owned nature of the subsidiary, though it remains exempt from certain related party transaction provisions as applicable.

L.K. Mehta Green Private Limited is registered with a paid-up capital of ₹1,00,000, comprising 10,000 equity shares of ₹10 each. The subsidiary will focus on green and renewable energy solutions, sustainable technologies, and allied recycling activities. The investment involves the subscription to the equity share capital of the wholly owned subsidiary by the parent company.

Subsidiary Details

The new entity operates from the same registered office address as the parent company in Ratlam, Madhya Pradesh. The expected benefits include expanded business opportunities and the strengthening of the group's long-term growth strategy through vertical integration into the sustainability space. This structural expansion allows L.K. Mehta Polymers to isolate and scale its green initiatives separately from its traditional manufacturing operations.

L.K. Mehta Polymers has approved the incorporation of a wholly owned subsidiary to diversify its business operations into the green and renewable energy sector. The Board of Directors at its meeting held on June 29, 2026, sanctioned the creation of L.K. Mehta Green Private Limited, subject to name approval by the Registrar of Companies. This strategic initiative aims to explore opportunities in sustainable technologies and expand the company's long-term growth strategy.

The proposed subsidiary will undertake business activities relating to the manufacturing, processing, trading, and marketing of green and renewable energy products. Key focus areas include solar energy, wind energy, bio-energy, and energy-efficient products. Additionally, the entity will engage in the recycling of all types of plastics and other allied or incidental activities.

L.K. Mehta Polymers Limited will subscribe to the entire initial equity share capital of the new entity. This involves the subscription to 10,000 equity shares of ₹10 each, aggregating to a total of ₹1,00,000. The investment is subject to the completion of necessary statutory and regulatory formalities.

The transaction falls under the category of a related party transaction as it involves an investment in a wholly owned subsidiary. However, the company noted that the transaction is exempt from certain related party transaction provisions as applicable. The incorporation is expected to strengthen the company's business opportunities and support its expansion into the sustainability sector.

Details of the Wholly Owned Subsidiary