Kemp & Company Limited , a part of VIP Industries' promoter group, has entered into a binding agreement to purchase the VIP House property located in Prabhadevi, Mumbai, from VIP Industries Limited. The transaction, valued at Rs. 40.71 crore, represents a significant material related party transaction that requires shareholder approval.

Key Details of the Transaction

Transaction Specifics

The purchase agreement stipulates that the property will be acquired on an "as is where is" basis. This material related party transaction is subject to approval from Kemp & Company Limited's shareholders, as disclosed in the company's filing under Regulation 30 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015.

Relationship Between Parties

Kemp & Company Limited is part of the Promoter Group of VIP Industries Limited, which establishes the related party nature of this transaction. The company has affirmed that the deal is being carried out at arm's length, ensuring fairness in the transaction process.

Regulatory Compliance

The transaction's disclosure aligns with the SEBI Master Circular No. SEBI/HO/CFD/PoD2/CIR/P/0155 dated November 11, 2024, demonstrating Kemp & Company's commitment to regulatory transparency. This level of disclosure is crucial for maintaining investor trust and complying with stock exchange requirements.

Implications and Next Steps

While the agreement has been signed, the completion of this property acquisition depends on obtaining shareholder approval. This step is critical given the material nature of the transaction and the related party aspect.

The acquisition of VIP House by Kemp & Company Limited may be a strategic move, but the specific motivations and intended use of the property have not been disclosed in the available information.

As this transaction progresses, market observers will be monitoring its impact on both Kemp & Company Limited and VIP Industries Limited, particularly regarding their respective financial positions and strategic directions.

Kemp & Company Limited has announced a significant corporate action, seeking shareholder approval for a material related party transaction with VIP Industries Limited. The company's Board of Directors has approved a draft notice for a postal ballot to obtain shareholder consent for the purchase of an immovable property named VIP House, located in Prabhadevi, Mumbai.

Key Details of the Postal Ballot

The company has outlined a comprehensive timeline for the postal ballot process:

Shareholders registered as of the cut-off date will be eligible to vote on the special resolution through the postal ballot process. The company has appointed M/s. Ragini Chokshi & Co., Practicing Company Secretaries, as the scrutinizer for overseeing the postal ballot process.

Significance of the Transaction

This material related party transaction represents a significant move for Kemp & Company Limited. The acquisition of VIP House, if approved by shareholders, could potentially impact the company's asset portfolio and future operations. Shareholders will need to carefully consider the implications of this transaction before casting their votes.

Additional Corporate Updates

In the same board meeting held on November 7, 2025, Kemp & Company Limited also approved the unaudited financial results for the quarter and half-year ended September 30, 2025. These results, along with a segment-wise breakdown of revenue, results, and capital employed, have been submitted to the BSE Limited for dissemination to investors.

The company's proactive approach in seeking shareholder approval for this material transaction and its timely disclosure of financial results demonstrate its commitment to corporate governance and transparency. Shareholders and potential investors are advised to review the full postal ballot notice and financial results once they are made publicly available for a comprehensive understanding of the company's current position and future plans.