Narmada Macplast Drip Irrigation Systems Limited announced a significant strategic expansion with its Board of Directors approving the acquisition of a controlling 51% stake in GSK Industries Private Limited. The decision was made during a board meeting held on January 23, 2026, marking a key milestone in the company's growth strategy within the irrigation manufacturing sector.

Acquisition Details and Financial Structure

The acquisition involves purchasing 9,34,978 equity shares of ₹10 each at an issue price of ₹390 per share, including a premium of ₹380 per share. The transaction will be executed through cash consideration, with the total investment amounting to ₹364.64 crores.

Target Company Profile and Business Alignment

GSK Industries Private Limited, incorporated on November 2, 2018, operates in the manufacturing sector with a focus on irrigation-related products. The company's business portfolio includes manufacturing of HDPE sprinkler pipes, HDPE drip irrigation pipes, MDPE pipes, and various valves, creating a strong synergy with Narmada Macplast's existing operations.

The target company's comprehensive product range encompasses:

• HDPE and MDPE pipes for irrigation systems
• Sprinkler and drip irrigation components
• PP ball valves and PVC valves
• Agricultural injectors and screen filters
• Plastic ball valves and irrigation fittings

Financial Performance of GSK Industries

GSK Industries has demonstrated varying financial performance over the past three years, with turnover figures showing fluctuations in recent periods.

Strategic Rationale and Expected Impact

The acquisition represents a horizontal integration strategy aimed at expanding Narmada Macplast's manufacturing capabilities beyond its traditional drip irrigation core business. The company expects this move to achieve greater market presence and operational efficiency through:

• Streamlined supply chain operations
• Access to new geographic markets
• Enhanced distribution network capabilities
• Broader industrial manufacturing segments

The transaction is structured as a non-related party acquisition, with no promoter or group company interests in the target entity. No governmental or regulatory approvals are required for completing this acquisition.

Implementation Timeline and Corporate Changes

The acquisition is expected to be completed within 10-12 months from the approval date. Additionally, the board approved a proposal to alter the main object clause of the company by adding new provisions to the Memorandum of Association, reflecting the expanded business scope following the acquisition.

This strategic acquisition positions Narmada Macplast to leverage GSK Industries' established manufacturing capabilities and market presence, potentially strengthening its competitive position in the irrigation and related manufacturing sectors.

Sachin Govindlal Modi has disclosed a substantial acquisition of shares in Narmada Macplast Drip Irrigation Systems Ltd, filing the mandatory disclosure under Regulation 29(2) of SEBI (Substantial Acquisition of Shares & Takeovers) Regulations, 2011.

Share Acquisition Details

Modi acquired 200,000 shares of Narmada Macplast Drip Irrigation Systems Ltd through open market purchase on January 20, 2026. The transaction increased his total shareholding from 2,813,684 shares to 3,013,684 shares.

Transaction Structure

The acquisition was executed entirely through open market purchases, with Modi acquiring shares carrying voting rights. The disclosure confirms that Modi does not belong to the promoter or promoter group of the company.

Company Share Capital

Narmada Macplast Drip Irrigation Systems Ltd maintains a total equity share capital of 36,230,000 shares, which remained unchanged following this transaction. The company's shares are listed on the Bombay Stock Exchange Ltd.

Regulatory Compliance

The disclosure was filed with both BSE Ltd and the target company as required under SEBI regulations. Modi, based in Ahmedabad, submitted the mandatory disclosure form on January 20, 2026, ensuring compliance with substantial acquisition reporting requirements.

This acquisition represents Modi's continued investment in the drip irrigation systems sector, with his enhanced shareholding position reflecting increased participation in the company's equity structure.