L.T. Elevator Limited has announced a strategic merger with Ricardo Elevators Private Limited, marking a significant expansion into the premium home elevator market. The company's Board of Directors approved the merger on January 9, 2026, during a meeting that commenced at 11:00 AM and concluded at 12:30 PM.

Board Approval and Transaction Structure

The board has approved the execution of a binding term sheet between L.T. Elevator Limited and Ricardo Elevators Private Limited. The term sheet outlines the principal commercial terms and conditions for the proposed strategic and commercial arrangement.

Strategic Integration and Leadership

As part of the merger, Ricardo Elevators' operations and team will be integrated into L.T. Elevator Limited. Mr. Neeraj Hemnani, Founder & CEO of Ricardo Elevators, will continue with the organization and will head the newly formed Home Elevator Division.

Financial Performance and Market Position

Ricardo Elevators currently demonstrates strong operational momentum with consistent order generation. The company's financial performance shows robust market demand in the home elevator segment.

Strategic Benefits and Growth Drivers

The merger is expected to deliver multiple strategic advantages for L.T. Elevator Limited. The integration aims to create synergies across manufacturing, market reach, and operational efficiency.

Key strategic benefits include:

• Revenue Scale-Up: Immediate addition of Ricardo's order inflows to strengthen execution momentum
• Manufacturing Integration: Progressive integration of Ricardo's outsourced manufacturing into L.T. Elevator's in-house platform
• Enhanced Market Reach: Access to Ricardo's pan-India retail footprint and premium D2C brand
• Cross-Selling Opportunities: Stronger customer recall across residential segments

Management Commentary and Future Outlook

Mr. Yash Gupta, Director of L.T. Elevator Limited, commented on the strategic significance of the merger: "This merger meaningfully strengthens our growth engine. The combination of LT's engineering-led manufacturing platform with Ricardo's execution and retail presence positions us for a significantly higher revenue scale ahead, while maintaining discipline on costs and margins."

Investor Communication Schedule

L.T. Elevator Limited has planned comprehensive investor communication regarding the merger. The company will release a detailed investor presentation outlining the strategic aspects of the transaction.

The merger positions L.T. Elevator Limited for significant growth in upcoming financial cycles, combining the strengths of both organizations to capture opportunities in the expanding home elevator market.

L.T. Elevator Limited has informed BSE Limited about receiving a regulatory penalty for delayed compliance with SEBI disclosure requirements. The company disclosed this development through a formal communication dated December 18, 2025, under Regulation 30 of SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015.

Penalty Details

The regulatory action stems from delayed submission of related party transaction disclosures, which resulted in a monetary penalty from the exchange.

Nature of Non-Compliance

The penalty was imposed under Chapter-VII(A) dealing with penal actions for non-compliance as specified in the SEBI Master Circular. The violation specifically relates to the delayed filing of related party transactions as mandated under Regulation 23(9) of SEBI (LODR) Regulations 2015.

The company has clarified that it had no intention of delay in filing and attempted to comply within the prescribed timeframe in good faith. However, due to lack of clarification, the delay occurred, leading to the regulatory action.

Company's Response and Assurance

L.T. Elevator Limited has emphasized that the penalty will have no impact on the company's financial, operational, or other activities. The management has provided assurance regarding future compliance measures.

The company has committed to strict adherence to all applicable SEBI regulations and listing obligations going forward. This commitment reflects the management's focus on maintaining regulatory compliance standards.

Regulatory Framework

The action was taken under the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, as amended, which mandates timely disclosure of related party transactions by listed entities. The penalty structure follows the guidelines outlined in the SEBI Master Circular dated November 11, 2024, specifically under the penal actions framework for non-compliance.

The disclosure was made by Managing Director Arvind Gupta from the company's registered office in Kolkata, ensuring transparency with stakeholders regarding the regulatory development.