Shriram Asset Management Company Limited has announced the completion of dispatch of its postal ballot notice to seek shareholder approval for a material related party transaction with Shriram Finance Limited. The Board of Directors approved the postal ballot through a circular resolution dated March 25, 2026, as part of the company's office consolidation strategy.

Transaction Details and Business Rationale

The proposed transaction involves the purchase of office furniture and fixtures from Shriram Finance Limited for a maximum consideration of Rs. 60,00,000/- excluding applicable taxes. This transaction is part of the company's plan to consolidate its existing four separate offices in Andheri East, Mumbai, into a single corporate office through the transfer of lease from one of the premises being vacated by Shriram Finance Limited.

Regulatory Framework and Approval Requirements

The transaction qualifies as a material related party transaction under SEBI Listing Regulations, as it exceeds 10% of the company's annual consolidated turnover. The company's consolidated turnover for FY 2024-25 stood at Rs. 1,96,87,042/-, making the materiality threshold Rs. 19,68,704/-. The Audit Committee and Board of Directors have already approved and recommended the transaction through resolutions passed on March 23, 2026, and March 25, 2026, respectively.

Voting Schedule and Process

The remote e-voting process has been structured to ensure maximum shareholder participation:

Members whose names appear in the Register of Members or Register of Beneficial Owners as on the cut-off date are eligible to participate in the remote e-voting process. The company has engaged Central Depository Services (India) Limited as the e-voting service provider, with Mr. Suhas Ganpule appointed as the Scrutinizer for the postal ballot process.

Compliance and Notice Dispatch Completion

The company has completed the dispatch of postal ballot notices to all eligible shareholders. In compliance with Regulations 30 & 47 of the SEBI Listing Regulations, the company has published newspaper advertisements in "Free Press Journal" and "Navshakti" confirming the completion of notice dispatch and providing remote e-voting information.

The postal ballot notice, along with detailed voting instructions, has been made available on the company's website and BSE portal for shareholders who may not have received physical copies.

Commercial Benefits and Strategic Impact

The management has highlighted several commercial advantages of this transaction. The furniture and fixtures are less than 24 months old and in good condition, with an estimated replacement value significantly higher than the purchase price. This represents a cost-efficient approach to office consolidation, allowing the company to acquire quality assets at approximately one-third of their estimated replacement cost.

The transaction is being conducted on an arm's length basis and in the ordinary course of business, supported by independent auditor certification. For Shriram Finance Limited, this transaction represents approximately 0.001% of their annual consolidated turnover for FY 2024-25, based on their turnover of Rs. 41,834.42 crores.

Governance Measures

In accordance with regulatory requirements, no related party will be permitted to vote on this resolution, ensuring independent shareholder decision-making. The company has established helpdesk facilities through CDSL for technical support during the voting process, with contact details provided in the postal ballot notice for shareholder assistance.

Shriram Asset Management Company Limited has submitted detailed voting results and scrutinizer report for its postal ballot proceedings that approved material remuneration payments to key personnel. The company informed BSE Limited on March 17, 2026, completing its regulatory obligations under SEBI LODR Regulations.

Postal Ballot Process and Timeline

The remote e-voting period was conducted over a month-long duration, providing shareholders adequate time to participate in the decision-making process. The voting commenced on Monday, February 16, 2026 at 09:00 A.M. and concluded on Tuesday, March 17, 2026 at 5:00 P.M.

Approved Remuneration Resolutions

Shareholders approved two ordinary resolutions related to remuneration payments for key personnel, both classified as material under Regulation 23(2)(e) of the SEBI LODR Regulations:

• Ms. Vinita Kapoor: Company Secretary and Compliance Officer, designated as Key Managerial Personnel
• Mr. Hitesh Savanth: Principal Officer for Portfolio Management Services (PMS), classified as Senior Management Personnel

Detailed Voting Results

The voting results demonstrate strong shareholder support for both resolutions, with identical voting patterns across both proposals.

Voting Participation Analysis

The voting results show that 36 members voted in favour of both resolutions representing 17166 shares, while only 3 members voted against representing 111 shares. The overall voting participation rate was 0.10% of total outstanding shares.

Regulatory Compliance and Documentation

Scrutinizer Suhas S. Ganpule from SG & Associates conducted the postal ballot process in compliance with Section 108 and Section 110 of the Companies Act, 2013. The e-voting was unlocked at 5:06 P.M. on March 17, 2026 in the presence of two independent witnesses.

As per Regulation 23 of SEBI LODR Regulations, promoter and promoter group entities abstained from voting on these related party transactions. Managing Director and CEO Kartik Jain (DIN: 09800492) digitally signed the submission documents, ensuring complete regulatory compliance and transparency in the postal ballot process.