Sangam (India) Limited , a prominent textile manufacturer, has made a significant move towards sustainable energy consumption by acquiring a stake in CGE II Hybrid Energy Private Limited. This strategic acquisition aims to secure renewable energy under captive status for Sangam's manufacturing units in Rajasthan, marking a notable step in the company's commitment to sustainable operations.

Key Agreements

The Investment and Borrowing Committee of Sangam (India) Limited has approved and executed two crucial agreements:

1. Power Consumption Agreement: Signed with CGE II Hybrid Energy Private Limited
2. Share Purchase & Shareholders Agreement: Executed with CGE II Hybrid Energy Private Limited and Continuum Green Energy Limited

Transaction Details

Implications and Benefits

This acquisition is expected to bring several advantages to Sangam (India) Limited:

1. Sustainable Energy Source: Access to renewable energy for manufacturing operations
2. Cost Efficiency: Potential reduction in energy costs through captive power arrangement
3. Environmental Responsibility: Alignment with global sustainability trends and reduced carbon footprint
4. Operational Stability: Enhanced control over energy supply for manufacturing units

Regulatory Compliance

The company has duly informed the stock exchanges about this acquisition, in compliance with Regulation 30 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015. The intimation was made in accordance with the SEBI Master Circular No. SEBI/HO/CFD/PoD2/CIR/P/0155 dated November 11, 2024.

This strategic move by Sangam (India) Limited reflects a growing trend among Indian manufacturers to adopt sustainable practices and secure long-term energy solutions. As the textile industry continues to evolve, such initiatives may become increasingly common, potentially reshaping the sector's approach to energy consumption and environmental responsibility.

Sangam (India) Limited , a prominent player in the textile industry, held its 39th Annual General Meeting (AGM) on September 19, where shareholders approved several significant resolutions. The meeting, conducted through video conferencing, saw the company taking important decisions that will shape its future trajectory.

Financial Performance and Dividend

Shareholders adopted the audited financial statements for the year ended March 31, both on a standalone and consolidated basis. In a move that will please investors, the company declared a dividend of Rs. 2.00 per equity share, demonstrating its commitment to shareholder returns despite the challenging business environment.

Board Appointments and Re-appointments

Re-appointment of V.K. Sodani

Mr. V.K. Sodani, who serves as the Executive Director and CEO of the Fabric & Garment Business, was re-appointed as a Director liable to retire by rotation. With over 27 years of experience in the textile sector, Mr. Sodani brings valuable expertise in domestic and international marketing to the company's leadership.

Re-appointment of Sudhir Maheshwari as Independent Director

Shareholders approved the re-appointment of Mr. Sudhir Maheshwari as an Independent Director for a second term of five years, from August 1 to July 31. Mr. Maheshwari, a chartered accountant and company secretary with 37 years of global experience, is currently the Founder and Managing Partner at Synergy Capital. His extensive background includes a pivotal role in the creation of ArcelorMittal, the world's largest steel company.

Corporate Governance and Compliance

Appointment of Secretarial Auditors

The AGM saw the appointment of M/s. B.K. Sharma & Associates, Company Secretaries, as the Secretarial Auditors for five consecutive years. This appointment underscores Sangam (India) Limited's commitment to maintaining high standards of corporate governance and regulatory compliance.

Ratification of Cost Auditors' Remuneration

Shareholders also ratified the remuneration of Cost Auditors, ensuring transparency in the company's financial practices.

Looking Ahead

The approvals granted at the AGM reflect Sangam (India) Limited's focus on maintaining strong corporate governance, rewarding shareholders, and positioning itself for future growth in the competitive textile industry. With experienced leadership at the helm and a clear strategic direction, the company appears well-positioned to navigate the challenges and opportunities in the coming years.

As Sangam (India) Limited moves forward, stakeholders will be keenly watching how these decisions translate into business performance and value creation in the dynamic textile market.