Race Eco Chain Limited has announced that its material subsidiary, M/s. Ganesha Recycling Chain Pvt Ltd, has executed an Admission cum Reconstitute deed dated 15th May, 2026 with M/s. Shubhlaxmi Ecoplast LLP. Pursuant to this agreement, Ganesha Recycling Chain Pvt Ltd has acquired a 51% stake and profit-sharing ratio in Shubhlaxmi Ecoplast LLP, making it a subsidiary of Ganesha Recycling Chain Pvt Ltd and consequently a step-down subsidiary LLP of Race Eco Chain Limited. The disclosure was made under Regulation 30 read with Schedule III of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015.

Acquisition Details at a Glance

The following table summarises the key parameters of the acquisition as disclosed by the company:

Strategic Rationale

The acquisition is described as part of the overall corporate objectives of Ganesha Recycling Chain Pvt Ltd to expand its business. The fixed capital contribution of ₹2,30,00,000 (Rupees Two Crore Thirty Lac Only) has been invested to secure the 51% stake in Shubhlaxmi Ecoplast LLP. The transaction was conducted on a cash basis, and no governmental or regulatory approvals were required to complete the acquisition.

About Shubhlaxmi Ecoplast LLP

M/s. Shubhlaxmi Ecoplast LLP operates in the recycling industry and is engaged in a broad range of activities related to plastic and polymer waste management. Its business encompasses:

• Buying, selling, trading, processing, recycling, grinding, importing, and exporting of all types of plastic and polymer scraps and waste
• Dealing in materials including Polyethylene Terephthalate (PET), Polypropylene (PP), Polyvinyl Chloride (PVC), High Density Polyethylene (HDPE), Low Density Polyethylene (LDPE), Linear Low Density Polyethylene (LLDPE), and other plastic polymers
• Handling resins, synthetic and non-synthetic materials, granules, chips, and fibers
• General waste management and waste processing of all types of materials

The entity reported a turnover of 80.24 in Lac as on 2025.

Related Party and Promoter Interest

Following the completion of the transaction, Shubhlaxmi Ecoplast LLP will become a related party of Race Eco Chain Limited. However, the company has clarified that no promoter, promoter group, or group companies held any interest in the entity being acquired prior to this transaction. The acquisition is therefore not subject to related party transaction considerations on the part of the promoter group.

The intimation was signed by Shiwati, Company Secretary and Compliance Officer of Race Eco Chain Limited, and submitted to both the Bombay Stock Exchange Limited and the National Stock Exchange Limited on 15th May, 2026.

Race Eco Chain Limited has disclosed, under Regulation 30 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, that its subsidiary M/s. Ganesha Recycling Chain Private Limited has made an investment of Rs. 2,00,00,000 (Rupees Two Crore Only) in M/s. GEM Polymers Private Limited. GEM Polymers Private Limited is both a subsidiary of Ganesha Recycling Chain Private Limited and a step-down subsidiary of Race Eco Chain Limited. The intimation was filed on 12th May, 2026, in compliance with SEBI Circular No. SEBI/HO/CFD/CFD-PoD-1/P/CIR/2023/123 dated July 13, 2023.

Investment Details

As part of this fund infusion, Ganesha Recycling Chain Private Limited subscribed to 2,00,000 equity shares of M/s. GEM Polymers Private Limited at a face value of Rs. 10/- each, aggregating to Rs. 2 crore. The consideration for the transaction was made entirely in cash. The following table summarises the key parameters of the investment as disclosed:

About GEM Polymers Private Limited

GEM Polymers Private Limited is an Indian company incorporated on 04th January, 2024, engaged in the business of recycling. The company currently operates in the Indian market. As the company was incorporated on 04th January, 2024, its reported turnover stands at Nil, and historical turnover data is not applicable.

Related Party Transaction and Corporate Objective

The investment by Ganesha Recycling Chain Private Limited in GEM Polymers Private Limited falls under the purview of related party transactions. However, as disclosed, no promoter, promoter group, or group companies have any interest in the entity being acquired. The transaction has been undertaken as part of Race Eco Chain's overall corporate objectives and to expand its business operations, with Ganesha Recycling Chain Private Limited contributing the investment amount for a 49% stake in GEM Polymers Private Limited post-investment. No governmental or regulatory approvals were required for this acquisition.