FIEM Industries has received a disclosure from HDFC Mutual Fund regarding a substantial increase in shareholding under Regulation 29(2) of SEBI Takeover Regulations. The mutual fund has raised its stake in the company from 5.06% to 7.07% as of January 8, 2026, marking a significant investment move in the automotive components manufacturer.

Shareholding Increase Details

The acquisition involved the purchase of 5,28,900 additional shares, representing a 2.01% increase in shareholding. This transaction was executed through open market purchases on January 8, 2026, bringing HDFC Mutual Fund's total holding to 18,59,492 shares in FIEM Industries.

Fund Details and Structure

The shareholding increase was executed through two specific schemes of HDFC Mutual Fund:

• HDFC Small Cap Fund
• HDFC Transportation and Logistics Fund

Both funds are managed under HDFC Trustee Company Limited, with HDFC Asset Management Company Limited serving as the investment manager. The mutual fund has confirmed that it does not belong to the promoter or promoter group of FIEM Industries.

Company Capital Structure

FIEM Industries maintains a stable capital structure with the following specifications:

The company's equity share capital remained unchanged before and after the acquisition, indicating that this was a secondary market transaction rather than a fresh issue of shares.

Regulatory Compliance

The disclosure was made in accordance with Regulation 29(2) of the Securities and Exchange Board of India (Substantial Acquisition of Shares and Takeovers) Regulations, 2011. HDFC Mutual Fund submitted the required documentation to FIEM Industries on January 12, 2026, along with copies to both BSE Limited and National Stock Exchange of India Limited.

The transaction represents a strategic investment by HDFC Mutual Fund in FIEM Industries, demonstrating confidence in the company's prospects within the automotive components sector. The acquisition was completed entirely through voting shares, with no involvement of warrants, convertible securities, or encumbered shares.

Fiem Industries Limited , a leading automotive lighting and signaling equipment manufacturer, has reported stellar financial results for the second quarter, driven by robust demand from key OEM customers and expansion in the four-wheeler segment.

Record-Breaking Performance

The company achieved its highest-ever quarterly sales of INR 711.00 crores, marking a significant 17% year-on-year growth. Profit After Tax (PAT) surged by 28% to reach INR 64.00 crores, underscoring the company's strong financial health and operational efficiency.

Key Growth Drivers

Fiem Industries' impressive performance can be attributed to several factors:

1. Strong OEM Demand: The company experienced robust demand from key customers such as TVS, Royal Enfield, and Yamaha.

2. Four-Wheeler Business Expansion: Fiem secured new orders from Mahindra for various lamp components across popular models like Scorpio, Thar, and XUV700.

3. Operational Efficiency: The company maintained a healthy EBITDA margin of 13.93%, reflecting its ability to manage costs effectively while driving growth.

Financial Highlights

New Product Launches and Technological Advancements

Fiem Industries continues to innovate and expand its product portfolio:

1. Hero MotoCorp Collaboration: The company is supplying projector headlamps for the refreshed Hero Glamour X 125 and winker lamps for Hero Glamour and Xtreme models.

2. TVS Norton Partnership: Fiem has developed advanced headlamps and taillamps featuring animation and CAN-based system technology for TVS Norton models showcased at the recent Milan show.

3. Yamaha Innovations: The company is providing LED headlamps and taillamps for Yamaha's new Tracer 7 model in Europe and the XSR 155 and first EV model in India.

Four-Wheeler Segment Progress

Fiem Industries is making significant strides in the four-wheeler segment:

1. Expanded Product Range: The company has progressed from license plate lamps to high-mounted stop lamps for Mahindra's Bolero and Scorpio models.

2. New Business Wins: Fiem has secured orders for reflex reflectors and fog lamps for the XUV700 refresh model, as well as side repeater lamps for the Bolero series.

3. Future Growth: The company is actively working on RFQs from other four-wheeler manufacturers, including Force Motors and Mercedes.

Outlook

With a strong order book, improving operational efficiency, and continued focus on technology and quality, Fiem Industries is well-positioned for sustained growth. The company remains committed to outperforming the industry and is actively investing in research and development to stay at the forefront of automotive lighting technology.

As the automotive industry continues its upward trajectory, Fiem Industries is poised to capitalize on the growing demand for advanced lighting solutions in both the two-wheeler and four-wheeler segments.