Craftsman Automation Limited has successfully completed the first tranche of its asset sale transaction on December 31, 2025. The company's wholly owned subsidiary, Sunbeam Lightweighting Solutions Private Limited, has transferred specific plant and machinery assets to Shriram Pistons & Rings Limited as part of a larger divestment strategy.

Transaction Details and Structure

The asset sale is being executed in multiple tranches under an Asset Purchase Agreement signed on December 19, 2025. The first tranche involved the transfer of identified plant and machinery and related assets forming part of a piston manufacturing line on a piecemeal basis.

Asset Transfer and Payment Terms

The transaction involves the sale of aluminum piston manufacturing line assets, including plant and machinery along with related books and records. Sunbeam has received ₹10.00 crores for the first tranche, with the remaining ₹18.00 crores to be received upon completion of the second tranche.

The transfer of remaining assets will be completed in subsequent tranches, subject to fulfillment of respective closing conditions and deliverables as stipulated under the Asset Purchase Agreement. All payments are being made in cash according to the terms and conditions specified in the agreement.

Buyer Information and Transaction Nature

Shriram Pistons & Rings Limited, the buyer, has its registered office at Third Floor, Himalaya House, 23 Kasturba Gandhi Marg, New Delhi, Delhi, India, 110001. The company does not form part of the promoter, promoter group, or group companies of Craftsman Automation.

The transaction does not qualify as a related party transaction under Section 2(76) of the Companies Act, 2013, Regulation 2(zb) of the Listing Regulations, and applicable Accounting Standards. The sale is being conducted outside any scheme of arrangement.

Regulatory Compliance

The company has fulfilled its disclosure obligations under Regulation 30 of the Securities and Exchange Board of India (Listing Obligations and Disclosure Requirements) Regulations, 2015. The transaction details have been provided in accordance with Schedule III of the SEBI LODR Regulations and SEBI Master Circular No. SEBI/HO/CFD/PoD2/CIR/P/0155 dated November 11, 2024.

This strategic asset divestment represents Craftsman Automation's focused approach to optimizing its asset portfolio while generating cash proceeds for the company's operations and growth initiatives.

Craftsman Automation has successfully completed its strategic acquisition through subsidiary Dr Axion India Private Limited, which acquired 100% of the paid-up equity share capital of Suprash Developers Private Limited for ₹145.85 crore. The transaction, completed on December 20, 2025, also includes indirect acquisition of Srikara Technologies Private Limited, a wholly-owned subsidiary of Suprash Developers. The acquisition is strategically aimed at setting up a new manufacturing facility in Chennai.

Acquisition Completion Details

The company filed regulatory intimation under Regulation 30 of SEBI LODR Regulations, confirming the successful completion of the acquisition that was initially announced through a Share Purchase Agreement executed on December 19, 2025. The transaction structure involves multiple entities within the Craftsman Automation group and establishes the foundation for expanded manufacturing operations in Chennai.

Strategic Expansion Through Chennai Manufacturing Hub

Dr Axion India Private Limited, operating as a wholly-owned subsidiary of Craftsman Automation, executed the direct acquisition of Suprash Developers to facilitate the establishment of a new manufacturing facility in Chennai. This structure simultaneously provides indirect control over Srikara Technologies Private Limited, which operates as Suprash's wholly-owned subsidiary, creating a comprehensive acquisition framework for the Chennai expansion.

The Chennai manufacturing facility represents a significant step in Craftsman Automation's geographical expansion strategy, leveraging the industrial infrastructure and skilled workforce available in the region. The acquisition demonstrates the company's commitment to strengthening its manufacturing capabilities through strategic location advantages.

Regulatory Compliance and Strategic Implementation

Craftsman Automation has fulfilled all regulatory requirements under SEBI LODR Regulations, with comprehensive documentation submitted to stock exchanges. The company's proactive regulatory approach includes timely intimation of both the Share Purchase Agreement execution and subsequent completion of the acquisition process.

The acquisition aligns with the company's growth strategy in the auto ancillaries sector, where Craftsman Automation operates as a mid-cap entity with significant market presence. The new Chennai manufacturing facility is expected to enhance the company's production capacity and strengthen its market reach through improved geographical distribution and operational efficiency.