Varroc Engineering Limited, a leading global automotive component manufacturer, has announced the deregistration of its step-down subsidiary, Varroc Lighting Systems Bulgaria EOOD. The Bulgarian entity, which was incorporated under the laws of the Republic of Bulgaria and registered with the Bulgarian Commercial Registrar, has ceased to exist as a legal entity effective October 2, 2025.

Key Details of the Deregistration

• Subsidiary Name: Varroc Lighting Systems Bulgaria EOOD
• Effective Date: October 2, 2025
• Financial Impact: The subsidiary had nil turnover, revenue, income, and net worth for the Financial Year 2024-25

Corporate Disclosure

Varroc Engineering Limited has duly informed the National Stock Exchange of India (NSE) and BSE Limited about this development, in compliance with Regulation 30 and other applicable regulations of the SEBI (Listing Obligations and Disclosure Requirement) Regulations, 2015.

Company Background

Varroc Engineering Limited, headquartered in Aurangabad, Maharashtra, is a global tier-1 automotive component group. The company designs, manufactures, and supplies exterior lighting systems, plastic and polymer components, electricals-electronics components, and precision metallic components to passenger car, commercial vehicle, two-wheeler, three-wheeler, and off-highway vehicle OEMs directly worldwide.

Financial Information

As of September 30, 2025, Varroc Engineering Limited had outstanding Non-Convertible Debentures (NCDs) worth Rs. 187.50 crore, issued at a coupon rate of 8.60% per annum, maturing on September 7, 2028.

The company has paid interest of Rs. 4,40,30,821.92 and principal of Rs. 15,62,50,000 on its NCDs ahead of the due date in September 2025.

This strategic move to deregister the Bulgarian subsidiary with nil financial impact, coupled with the company's prompt fulfillment of its debt obligations, demonstrates Varroc Engineering's commitment to streamlining its operations while maintaining financial prudence in the automotive components sector.

Varroc Engineering Limited , a prominent player in the automotive component manufacturing sector, has successfully listed fresh commercial papers (CPs) worth Rs. 50 crores on the National Stock Exchange of India Limited (NSE). This latest strategic move demonstrates the company's continued focus on optimizing its short-term financial requirements through money market instruments.

Latest Commercial Paper Issue Details

The company has provided comprehensive details of its newest commercial paper listing through an official communication to stock exchanges:

Financial Structure and Terms

The commercial papers were issued at a competitive discount rate of 6.70%, reflecting Varroc Engineering's strong credit profile in the market. With a face value of Rs. 5,00,000 per security and an issue price of Rs. 4,97,625, the company has secured short-term funding at attractive terms for a relatively brief 26-day period.

Redemption Schedule

The company has established clear redemption parameters for investor transparency:

Investors should note the record date of January 23, 2026, for redemption payment purposes, with the full redemption amount of Rs. 50 crores due on January 27, 2026.

Institutional Framework

ICICI Bank Limited continues to serve as the Issue and Paying Agent (IPA) for these commercial papers, maintaining the robust financial infrastructure that supports the company's money market operations. Kotak Mahindra Bank Limited has subscribed to the entire issue, demonstrating institutional confidence in Varroc Engineering's creditworthiness.

Strategic Financial Management

This latest commercial paper issuance reinforces Varroc Engineering's sophisticated approach to short-term liquidity management. The successful listing on NSE provides the company with immediate access to capital while maintaining cost-effective financing terms. The shorter tenure of 26 days compared to typical commercial paper periods suggests tactical financial planning aligned with specific operational requirements.

The company's ability to consistently access money market instruments at competitive rates underscores its strong financial standing within the automotive ancillaries sector and reflects investor confidence in its operational performance and credit quality.