Maharashtra Seamless has received board approval for a composite scheme of arrangement to demerge its business into two wholly owned subsidiaries, MSL Seamless Tubes and United Seamless.

The scheme, effective from the appointed date of October 1, 2026, involves the demerger of two distinct undertakings. Demerged Undertaking 1 comprises the seamless pipe manufacturing business at Mangaon, Maharashtra (125,000 MTPA) and a captive solar power plant at Beed. Demerged Undertaking 2 includes the seamless pipe facility at Narketpally, Telangana (200,000 MTPA), solar power plants in Rajasthan, and the rig Jindal Explorer.

Arrangement details

The approval marks a notable corporate development, bringing together the company with MSL Seamless Tubes and United Seamless under a formally sanctioned arrangement.

The approval of this arrangement reflects a structured corporate action involving three entities: Maharashtra Seamless, MSL Seamless Tubes, and United Seamless.

Financial impact

For FY26, the operational turnover of Demerged Undertaking 1 was ₹793 crore (16.98% of total turnover), while Demerged Undertaking 2 recorded ₹693 crore (14.84%). The remaining business accounted for ₹3,185 crore (68.18%), with a total turnover of ₹4,671 crore.

Share exchange ratio

Shareholders of Maharashtra Seamless will receive shares in both resulting companies. For every 5 equity shares of ₹5 each held in Maharashtra Seamless, shareholders will be allotted 1 equity share of ₹5 each in MSL Seamless Tubes and 1 equity share of ₹5 each in United Seamless. This structure ensures the scheme remains value neutral for shareholders.

Post-demerger shareholding

Upon effectiveness of the scheme, the entire pre-scheme equity share capital held by Maharashtra Seamless in the subsidiaries will be cancelled. Both MSL Seamless Tubes and United Seamless will issue new shares to the shareholders of Maharashtra Seamless. The indicative post-scheme shareholding pattern shows promoters holding approximately 70.3% and the public holding 29.7% in both resulting entities.

Listing status

The equity shares of both MSL Seamless Tubes and United Seamless will be listed and admitted to trading on BSE and NSE, subject to requisite approvals from statutory and regulatory authorities including the NCLT.

Maharashtra Seamless Limited will hold a virtual investor interaction on September 28, 2026. The meeting is part of the Bharat Connect Conference – Rising Stars, organized by Arihant Capital.

The session is scheduled to begin at 10:00 am and will involve a group discussion with various investors. The company confirmed that no unpublished price sensitive information will be shared during the interaction.

Meeting Details

The following table outlines the key parameters of the scheduled interaction:

Regulatory Compliance

The intimation was filed pursuant to Regulation 30 of the Securities and Exchange Board of India (Listing Obligations and Disclosure Requirements) Regulations, 2015. The company noted that changes to the schedule may occur due to exigencies on the part of the investor or the company.

This disclosure was signed by Ram Ji Nigam, Company Secretary, on September 23, 2026.