Cummins India has entered into a comprehensive Shareholders' Agreement and Energy Supply Agreement with Clean Max Yellowstone Private Limited on January 5, 2026, expanding its renewable energy investment commitment to ₹2.70 crores. This development follows the company's earlier completion of the first tranche investment of ₹8,780 for 878 equity shares on December 29, 2025.

Investment Agreement Details

The Shareholders' Agreement signed on January 5, 2026, outlines Cummins India's commitment to invest up to ₹2.70 crores in Clean Max Yellowstone Private Limited through multiple tranches. The company will maintain at least an 8.78% equity stake in the renewable energy firm.

Energy Supply Agreement

Simultaneously, Cummins India has entered into Energy Supply Agreements with Clean Max for procuring renewable power including solar, wind, and hybrid energy solutions for its manufacturing facilities and premises. This strategic move aligns with the company's sustainability objectives and operational efficiency goals.

Regulatory Compliance and Disclosure

Cummins India has filed the disclosure under Regulation 30 of SEBI Listing Obligations and Disclosure Requirements Regulations, 2015. The company confirmed that all relevant details provided in earlier intimations dated December 18, 2025, and December 29, 2025, remain unchanged, ensuring continued regulatory compliance. The disclosure has been uploaded on the company's website at www.cumminsindia.com .

Strategic Significance

This expanded investment framework represents Cummins India's strategic entry into the clean energy sector, positioning the company to establish group captive renewable power plants for its manufacturing operations. The dual agreement structure enables both equity participation in Clean Max's growth and direct access to renewable energy solutions, supporting India's clean energy transition while enhancing operational sustainability.

Cummins India Limited has informed stock exchanges about receiving a penalty order from the Income Tax Department, marking a significant regulatory development for the engineering company. The disclosure was made on December 22, 2025, in compliance with SEBI listing regulations.

Penalty Details and Legal Action

The Assessment Unit of the Income Tax Department has imposed a penalty of ₹1,19,10,452 under Section 27(1)(c) of the Income Tax Act, 1961. Cummins India has highlighted that this penalty was levied without providing an opportunity to be heard, raising procedural concerns.

Background and Context

The penalty has been imposed solely on account of an underlying adjustment made during assessment proceedings. Cummins India has revealed that this adjustment has been duly contested by the company. The related appeal is presently pending before the Income Tax Appellate Tribunal, indicating ongoing legal proceedings on the matter.

Company's Response Strategy

Cummins India has announced its intention to file an appeal against this penalty order with the Appellate Authority. This legal recourse demonstrates the company's commitment to challenging what it perceives as an unjustified penalty imposed without due process.

Financial and Operational Impact

The company has provided assurance regarding the penalty's impact on its business operations:

• The penalty will not have any material impact on the company's financials
• No impact expected on operational activities
• No effect anticipated on other company activities

Regulatory Compliance

The disclosure was made under Regulation 30 read with Clause 20 of Para A of Part A of Schedule III of the SEBI Listing Obligations and Disclosure Requirements Regulations, 2015. This demonstrates Cummins India's adherence to transparency requirements and regulatory compliance standards for listed entities.