Tech Mahindra has announced the incorporation of a new wholly-owned step-down subsidiary focused on chess events and tournaments. The IT services major informed stock exchanges on December 15, 2025, about the formation of Chessworks Private Limited (CWPL) through its existing subsidiary Allyis India Private Limited (AIPL).

Corporate Structure and Capital Details

The Ministry of Corporate Affairs issued the Certificate of Incorporation for CWPL on December 14, 2025. Tech Mahindra received official intimation of the incorporation on December 15, 2025, at 11:11 AM IST.

Business Objectives and Operations

CWPL has been established with the primary objective of organizing and promoting chess events and leagues globally. The subsidiary will engage in managing chess-related events, leagues, and tournaments at various levels both in India and internationally. Additionally, the company plans to develop intellectual property, digital platforms, and educational programs in collaboration with federations, institutions, and sponsors to nurture talent and enhance engagement in the chess community.

Regulatory Compliance

The incorporation falls under Regulation 30 of the Securities and Exchange Board of India (Listing Obligations and Disclosure Requirements) Regulations, 2015. Tech Mahindra clarified that the initial subscription by AIPL towards CWPL's incorporation does not fall within the purview of Related Party Transactions for the parent company. However, following incorporation, CWPL has become a subsidiary and consequently a Related Party of Tech Mahindra.

Financial Investment

The promoter, promoter group, and group companies of Tech Mahindra do not have any interest in CWPL beyond the subsidiary relationship established through AIPL. As a newly incorporated entity, CWPL has not yet commenced business operations, making turnover details not applicable at this stage.

Tech Mahindra Limited has announced the allocation of 60,706 equity shares to eligible employees under its stock option plans. The Securities Allotment Committee of the company's Board of Directors approved this allotment on December 11, 2025.

Allocation Details

The latest allotment comprises:

Share Pricing Structure

The allotment includes shares at different price points:

Key Financial Impact

• Share Value: Each equity share has a face value of ₹5.00
• New Total: Following this issuance, Tech Mahindra's total issued shares stand at 97,97,21,333
• Updated Share Capital: The company's total issued share capital after this allotment is ₹4,89,86,06,665
• Share Status: The newly issued shares rank pari passu and are identical to the existing equity shares of the company

Regulatory Compliance

The allotment was made in compliance with the Securities and Exchange Board of India (SEBI) regulations. Both stock option schemes had received prior approvals from the BSE Limited and National Stock Exchange of India Limited. The company received intimation of the allotment on December 11, 2025 at 11:44 AM IST.

Market Impact

This allocation represents a measured increase in the total number of outstanding shares. The allotment demonstrates Tech Mahindra's continued commitment to employee engagement through equity participation, a practice that aligns employee interests with shareholder value creation in the competitive IT services sector.