Uno Minda has announced a strategic expansion into the Four-Wheeler (4W) Passenger Vehicle Seating Systems segment with a proposed capital expenditure of approximately ₹320 crore. The Investment, Mergers & Acquisitions Committee of the Board approved the establishment of a greenfield manufacturing facility in Chhatrapati Sambhajinagar, Maharashtra, on July 7, 2026. This move marks the company's entry into one of the highest-value product categories in the automotive supply chain, aiming to increase per-vehicle revenue potential and deepen its footprint in the premium vehicle experience market.

The project will be executed under Uno Minda Tachi-S Seating Private Limited, a Joint Venture with TACHI-S Company Limited, Japan. The facility is expected to commence operations by Q4FY28, with a proposed capacity addition of 2,40,000 units per annum to be achieved in phases until FY 2030-31. The project will be financed through a mix of equity and term loans. In a strong early validation of this strategy, the JV has already secured an anchor customer order from a leading OEM.

Investment in Subsidiary

The Investment, Mergers & Acquisitions Committee of the Board also approved a further investment of up to ₹93 crore in the equity capital of Uno Minda Tachi-S Seating Private Limited. This infusion, to be disbursed in one or more tranches in cash until FY 2027-28, is proportionate to the current shareholding. Consequently, there will be no change in the percentage of shareholding or control in the target entity, where Uno Minda currently holds a 51% equity stake.

Financials of Target Entity

Uno Minda Tachi-S Seating Private Limited, incorporated on October 31, 2022, operates within the automotive industry in India. The entity has reported a steady increase in turnover over the past three financial years based on audited financial statements.

The transaction does not fall within related party transactions and will be conducted at arm's length. No prior governmental or regulatory approvals are required for the acquisition or the capacity expansion.

Members of the promoter group of Uno Minda have entered into a shareholders' agreement to formally document the existing understanding regarding the exercise of their shareholder rights. The agreement, dated July 7, 2026, was executed to preserve mutual respect, goodwill, and harmony among family members. The parties collectively hold 67.80% in the company.

The agreement was signed by Nirmal Kumar Minda, Suman Minda, Pallak Minda, Paridhi Minda, and several promoter group entities including Minda Investments Limited, Singhal Fincap Limited, Minda Finance Limited, Minda International Limited, and Bar Investments & Finance Private Limited. Samaira Jindal, a relative of a promoter group member, and the Nirmal Suman Minda Family Trust are also parties to the agreement. The disclosure was made to the stock exchanges pursuant to Regulation 30 and 30A of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015.

Key Terms of the Agreement

The shareholders' agreement outlines specific provisions regarding board representation and leadership. During the lifetime of Nirmal Kumar Minda, the parties will continue to be represented on the board by three directors, subject to necessary approvals. Following this period, the representation will reduce to a minimum of two directors. Additionally, Nirmal Kumar Minda will continue to serve as the chairman of the company during his lifetime, subject to board and shareholder approvals.

The agreement also includes customary rights such as the right of first refusal and tag-along rights. A significant restriction imposed by the agreement prohibits the parties from transferring their shares to a competitor.

Impact on Management and Control

The agreement explicitly states that there is no impact on the existing management or control of the listed company. The management and control of Uno Minda will continue to remain with the promoter group. The filing confirmed that there is no potential conflict of interest arising from this agreement and that the transaction does not fall within related party transactions.