Rose Merc Limited has signed a non-binding term sheet to acquire a 23.08% stake in ZCLUS India Limited for ₹18 crore, subject to regulatory approvals. The transaction involves the subscription of 3,000 equity shares at a price of ₹60,000 per share. This strategic move is intended to support Rose Merc's proposed fintech division and other technology support functions, pending necessary authorisations from shareholders and government authorities.

The acquisition targets ZCLUS India Limited, a wholly owned subsidiary of USA-based ZEST Consulting LLC. ZCLUS specializes in IT services, including SAP, Workday, Cloud, Data & AI, and Automation. The company operates as an ISO and HIPAA-certified entity with offshore offices in Mumbai and Hyderabad, serving global clients primarily in the USA.

Financial Performance of ZCLUS

ZCLUS has reported a provisional turnover of ₹25,18,43,026 for the financial year 2025-26. The company's turnover figures for the previous three financial years are detailed below:

Transaction Details

The consideration for the acquisition will be paid in cash. The transaction is not classified as a related party transaction, and the promoter group of Rose Merc holds no interest in ZCLUS. The completion of the acquisition is contingent upon the satisfactory completion of due diligence and the fulfilment of conditions precedent as outlined in the definitive agreements proposed to be executed between the parties.

Rose Merc Limited has entered into a strategic Memorandum of Understanding (MoU) with CATS Global Group companies to explore collaboration opportunities in Quantum Photonics AI, Surveillance Intelligence, Big Data Analytics, Defence Tech, Med Tech, Smart Infrastructure and related deep-tech sectors. The partnership, announced on May 25, 2026, establishes a framework for strategic investments, business development, technology commercialization, joint ventures and national-scale collaboration opportunities. This collaboration is expected to align with the Government of India’s “Atmanirbhar Bharat” vision, aiming to strengthen India's position in next-generation intelligent technologies and sovereign digital infrastructure capabilities.

The MoU was executed with three specific entities within the CATS Global Group: CASTLE ADVANCED TECHNOLOGIES AND SYSTEMS PVT LTD (CATS GLOBAL), CATS ECOSYSTEMS PVT LTD (CATS ECO), and CASTLE SMART ADVANCED TECHNOLOGIES AND SYSTEMS PVT LTD (CATS SMART). The collaboration will leverage the combined strengths of both parties to pursue opportunities in government projects, defence technologies, smart city infrastructure, industrial modernization and strategic technology deployments.

Strategic Focus Areas

The partnership will target several high-growth technology verticals. The collaboration aims to drive innovation and commercialization across the following sectors:

• Quantum Photonics AI
• Surveillance Intelligence
• Big Data & Predictive Analytics
• Defence Tech & Homeland Security
• Med Tech Platforms
• Smart Infrastructure & SCADA
• Aerospace & Industrial Intelligence
• Environmental & Water Intelligence

Market Potential and Targets

The media release highlighted significant market potential and revenue targets associated with the collaboration. The groups are targeting a near-term revenue goal of ₹ 1250 Cr+ within an addressable market estimated at USD 200 B+. The CATS Global Group brings over 20 years of R&D heritage across 09 industry verticals to the partnership.

Management Commentary

Mr. Uday Damodar Tardalkar, Chairman of Rose Merc Limited, stated that the collaboration reflects the company’s vision of participating in transformative technologies to redefine India’s future industrial and strategic capabilities. He emphasized the goal of building scalable platforms with global relevance while contributing to India’s technological self-reliance.

Prof. Dr. Rao Tatavarti, Founder Director and Chairman of CATS Global Group, noted that India stands at the threshold of a new technological era driven by photonics, quantum technologies, and intelligent sensing. He expressed that the collaboration creates a strong platform to accelerate commercialization and expand deployment opportunities for indigenous technologies.

Mr. Biren Shah, Co-Founder & Managing Director of the CATS Global Group companies, added that the MoU represents a shared commitment toward building globally competitive Indian deep-tech enterprises. He highlighted significant opportunities emerging in surveillance intelligence, Med Tech, Defence Tech and AI-powered command systems.