Foseco India Completes 75% Stake Acquisition in Morganite Crucible India

Foseco India Limited has successfully concluded its acquisition of a majority stake in Morganite Crucible (India) Limited, marking a significant corporate move in the industrial materials sector.

Acquisition Details

The transaction, which was announced on August 22, 2025, has now been finalized. Here are the key points of the acquisition:

Aspect	Details
Shares Acquired	42,00,000 fully paid-up equity shares
Stake Percentage	75% of total paid-up equity share capital
Sellers	Morganite Crucible Limited and Morgan Terrassen B.V. (Promoters)
Completion Date	November 12, 2025

Impact and Implications

As a result of this acquisition, Morganite Crucible (India) Limited has become a subsidiary of Foseco India Limited. This strategic move may strengthen Foseco India's position in the market and potentially expand its product offerings or manufacturing capabilities.

Regulatory Compliance

Foseco India Limited has informed the BSE Limited and National Stock Exchange of India Limited about the completion of this acquisition, in compliance with Regulation 30 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015.

The company's Managing Director and CEO, Prasad Madhukar Chavare, signed off on the regulatory filing, confirming the transaction's completion.

This acquisition represents a significant development in the industrial materials sector, potentially reshaping market dynamics and competitive landscapes.

1 Day	5 Days	1 Month	6 Months	1 Year	5 Years
+2.18%	-2.90%	+0.66%	+37.50%	+29.63%	+388.67%

Foseco India Limited , a key player in the foundry industry, has made a significant move in its corporate structure by allotting 11,50,800 equity shares on a preferential basis. This strategic decision, approved by the company's Board of Directors on November 11, 2025, and effective from November 12, 2025, marks a notable development in Foseco India's capital allocation strategy.

Details of the Allotment

The preferential allotment was distributed between two entities:

Allottee	Number of Shares	Face Value (INR)	Consideration
Morganite Crucible Limited	5,90,744	10.00	Other than cash
Morgan Terrassen BV	5,60,056	10.00	Other than cash

Regulatory Compliance and Approvals

The allotment follows a series of regulatory steps and approvals:

Shareholder approval via special resolution at an extraordinary general meeting held on September 21, 2025.
In-principle approvals received from:
- National Stock Exchange of India (NSE) on November 3, 2025
- BSE Limited on November 4, 2025

Key Points to Note

Issue Price: The shares were issued at a face value of Rs 10.00 each.
Consideration: The allotment was made for consideration other than cash, indicating a strategic transaction rather than a capital-raising exercise.
Regulatory Compliance: The allotted shares are subject to lock-in and transferability restrictions as prescribed under SEBI regulations, specifically Chapter V of the Securities and Exchange Board of India (Issue of Capital and Disclosure Requirements) Regulations, 2018.

Implications

This preferential allotment to Morganite Crucible Limited and Morgan Terrassen BV suggests a potential strengthening of strategic partnerships or a realignment of ownership structure within Foseco India Limited. While the immediate financial impact may be limited due to the non-cash nature of the transaction, it could have implications for the company's governance and strategic direction.

Investors and market watchers may be interested in observing any subsequent changes in the company's operations or strategy that may result from this share allotment. Stakeholders are advised to monitor future announcements and financial reports from Foseco India Limited to assess the full impact of this corporate action.