Gujarat Poly Electronics Seals Rs 29 Crore Property Deal with Tirex Transmission

Gujarat Poly Avx Electronics Limited (GPEL) has finalized a significant property transaction, selling its Gandhinagar assets to Tirex Transmission Private Limited for Rs 29 crore. The deal, which includes both land and building rights, marks a strategic move for the company as it prepares to relocate its operations.

Transaction Details

The property sale encompasses:

Asset Type	Description	Area
Land	Leasehold rights to Plot No. B-18, Gandhinagar Electronic Estate	12,022.40 sq. meters
Building	Ownership rights to the factory building on the plot	Not specified

Regulatory Compliance and Approvals

GPEL has meticulously followed the regulatory process for this transaction:

Received provisional transfer order (PTO) from Gujarat Industrial Development Corporation (GIDC)
Obtained shareholder approval
Executed the agreement

The deal's completion is contingent upon receiving final transfer orders from GIDC.

Financial Impact

The property being sold contributed significantly to GPEL's financial performance in the last fiscal year:

Metric	Amount	Percentage of Total
Turnover	Rs 1,779.24 lakhs	100.00%

Despite this, GPEL assures that the sale will not adversely affect its turnover, as arrangements have been made to relocate operations to a new site.

Transaction Nature

Key points about the nature of this transaction include:

Buyer (Tirex Transmission) is not part of GPEL's promoter group
Transaction is conducted on an arm's length basis
Not classified as a related party transaction
Complies with Regulation 37A of SEBI Listing Regulations

Looking Ahead

This property sale represents a significant corporate action for Gujarat Poly Avx Electronics Limited. While the company is divesting a property that previously accounted for its entire turnover, it has taken steps to ensure business continuity by arranging for a new operational location. Stakeholders will likely be watching closely to see how this transition impacts GPEL's future financial performance and operational efficiency.

As the transaction progresses towards completion, pending final approvals from GIDC, it will be crucial for investors and market observers to monitor any updates or changes in the company's operational strategy and financial outlook.

1 Day	5 Days	1 Month	6 Months	1 Year	5 Years
-1.21%	-1.50%	-12.79%	-14.60%	-25.51%	+1,275.80%

Gujarat Poly Avx Electronics Limited (GPEL) has announced significant strategic moves, including the sale of a key property and an increase in investment limits, as approved by its board of directors.

Property Sale

The company's board has given the green light for the sale of leasehold rights to a land plot and ownership rights to a factory building located at Plot No. B-18, Gandhinagar Electronic Estate. The property, measuring 12,022.40 square metres, will be sold to Tirex Transmission Private Limited for ₹29.00 crore.

This property has been crucial to GPEL's operations, generating a turnover of ₹1,779.24 lakh, which represents 100% of the company's revenue. However, GPEL has assured that it has made arrangements to relocate its operations, stating that the sale is not expected to adversely affect the company's turnover.

Increased Investment Limits

In addition to the property sale, the board has approved an increase in the limits for granting loans, making investments, giving guarantees, or providing securities. The new limit has been raised from ₹35.00 crore to ₹60.00 crore, potentially allowing for greater financial flexibility and investment opportunities.

Shareholder Approval and EGM

To seek shareholder approval for these significant decisions, GPEL has scheduled an Extraordinary General Meeting (EGM) for September 1, 2025. The meeting will be held through video conference or other audio-visual means.

Transitional Arrangements

As part of the sale agreement, GPEL will execute a letter agreement with Tirex Transmission Private Limited. This arrangement will allow GPEL to continue using a specified area of the property as its registered office during a transitional period, ensuring business continuity while the company relocates its operations.

Arms-Length Transaction

It's worth noting that Tirex Transmission Private Limited is not related to GPEL's promoter group. The company has emphasized that the transaction will be conducted on an arms-length basis, adhering to regulatory requirements and best practices in corporate governance.

Financial Performance

In its recent financial results, GPEL reported:

Particulars	Q1 FY2026 (₹ in lakh)	Q4 FY2025 (₹ in lakh)	Q1 FY2025 (₹ in lakh)
Income from Operations	466.79	411.00	486.17
Other Income	257.07	23.23	21.38
Total Income	723.86	434.23	507.55
Profit before Tax	301.50	53.93	74.91
Net Profit for the period	282.93	60.20	50.65

The company's financial performance shows a significant improvement in Q1 FY2026 compared to the previous quarter and the same quarter last year, with a substantial increase in both income and profit.

These strategic moves, including the property sale and increased investment limits, appear to be part of GPEL's efforts to optimize its assets and enhance its financial position. Shareholders will have the opportunity to vote on these proposals at the upcoming EGM in September.