Madhav Bansidhar Shriram has acquired a 30.93% stake in DCM Shriram Industries through an off-market inter-se transfer among promoters and immediate relatives. The transaction, executed on August 1, 2026, increases his individual holding from 4.94% to 35.87%, consolidating control within the promoter group while the total promoter holding remains unchanged at 50.11%. This restructuring clarifies ownership lines within the family group without altering the overall promoter block size.

The disclosure was submitted to the National Stock Exchange of India Ltd and BSE Ltd under Regulation 29(2) of the SEBI (Substantial Acquisition of Shares and Takeovers) Regulations, 2011. Madhav Bansidhar Shriram, identified as the acquirer and part of the promoter group, filed the notice on August 4, 2026. The transfer involved shares previously held by Alok B. Shriram, Urvashi Tilakdhar, and Lala Banshi Dhar & Sons (HUF). Notably, the execution was delayed by one day due to a temporary procedural freeze on the relevant demat accounts by the Depository, which was resolved before the transfer completed.

Shareholding Restructuring Details

The acquisition reshuffles the internal distribution of shares among the promoter group members. While Madhav Bansidhar Shriram’s stake increased significantly, other promoters saw reductions or no change in their holdings. The total voting capital of the company remained constant at 86,992,185 shares before and after the transaction.

Shares were transferred from Alok B. Shriram (89,42,540 shares) and Urvashi Tilakdhar (89,42,642 shares) entirely to Madhav Bansidhar Shriram. Additionally, Lala Banshi Dhar & Sons (HUF) transferred 90,21,200 shares to Madhav Bansidhar Shriram and 30,07,067 shares to Suman Banshi Dhar upon dissolution. Other entities, including Akshay Dhar and Sushil Kumar Jain, retained their minimal holdings of 500 and 318 shares respectively.

What the Numbers Show

The consolidation of stakes into Madhav Bansidhar Shriram’s name marks a significant centralization of voting power within the promoter group. By increasing his individual holding to 35.87%, he now holds the largest single shareholding within the promoter bloc. This move simplifies the decision-making structure for the company, as the promoter group’s total stake of 50.11% remains intact but is now more concentrated. The absence of any encumbrances or pledges on these transferred shares indicates a clean transfer of unencumbered equity, strengthening the balance sheet clarity for the primary promoter.

Madhav Bansidhar Shriram has acquired a 30.94% equity stake in DCM Shriram Industries through inter-family gifts, restructuring promoter holdings without altering the group’s aggregate control. The acquisition, valued at nil consideration due to its nature as a gift out of love and affection among immediate relatives, is scheduled for completion on July 31, 2026. This move consolidates individual promoter stakes while maintaining the total promoter group holding at 50.11%, ensuring stability in the company’s ownership structure.

The transaction falls under Regulation 10(1)(a) of the SEBI (Substantial Acquisition of Shares and Takeovers) Regulations, 2011, exempting the acquirer from making an open offer. The shares are being transferred from three entities: Alok Bansidhar Shriram, Urvashi Tilakdhar, and Lala Bansidhar & Sons (HUF). The HUF shares are being distributed following its dissolution, with Madhav Bansidhar Shriram receiving three-fourths of the HUF’s holding.

Transaction Details

The acquisition involves specific share transfers from each transferor, as detailed below:

All shares have a face value of ₹2 each. The volume-weighted average market price (VWAP) of the shares over the 60 trading days preceding the disclosure was ₹40.67 per share. However, this price is not applicable for determining the acquisition cost given the exempted nature of the transaction.

Post-Transaction Shareholding

Following the proposed transfers, Madhav Bansidhar Shriram’s individual stake will increase from 4.94% to 35.87%. Other promoters within the group will see no change in their individual holdings, except for Suman Bansi Dhar, who will receive the remaining one-fourth of the dissolved HUF’s shares, increasing his stake from 2.02% to 5.48%. The sellers—Alok Bansidhar Shriram, Urvashi Tilakdhar, and Lala Bansidhar & Sons (HUF)—will cease to hold any shares in the company post-transaction.

Regulatory Compliance

The acquirer has declared compliance with all conditions specified under Regulation 10(1)(a) regarding exemptions from open offers. Both transferors and transferees have committed to adhering to the disclosure requirements under Chapter V of the Takeover Regulations, 2011. The filing confirms that there is no change in the overall promoter shareholding percentage, which remains stable at 50.11%.