Nirav commercial Limited's board of directors has approved the disposal of its aluminium business segment through a comprehensive Business Transfer Agreement. The decision was taken during a board meeting held on February 04, 2026, at the company's registered office, marking a significant strategic move for the Mumbai-based commercial entity.

Business Disposal Details

The board has approved the sale of the company's aluminium business operating under the "Elesar Focchi" brand name to Hind Aluminium Industries Limited. The transaction is structured as a Material Related Party Transaction, requiring extensive regulatory compliance and shareholder approval.

Financial Performance of Disposed Business

The Elesar Focchi aluminium business represents a substantial portion of operations, with significant financial contributions to the overall entity. Based on the last audited financial statements as on March 31, 2025, the business unit demonstrated considerable scale.

Related Party Transaction Framework

The disposal involves Hind Aluminium Industries Limited, which operates from the same registered office address at B-1, Tulsi Vihar, Dr. A. B. Road, Worli Naka, Mumbai. The buyer belongs to the promoter/promoter group/group companies, necessitating arm's length transaction compliance and enhanced disclosure requirements.

Shareholder Approval Process

The board has approved conducting a postal ballot to obtain shareholder consent for the Business Transfer Agreement. This process ensures compliance with SEBI regulations governing Material Related Party Transactions and provides shareholders with appropriate decision-making authority over the strategic disposal.

Regulatory Compliance

The transaction adheres to Regulation 30 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, and SEBI Circular dated July 13, 2023. The board meeting commenced at 10:30 a.m. and concluded at 11:00 a.m., with all necessary regulatory disclosures being provided to BSE Limited under scrip code 512425.

Nirav Commercial , an aluminum products manufacturer, has reported a challenging first quarter, with both revenue decline and increased losses.

Financial Performance

For the quarter ended June 30, Nirav Commercials Limited reported:

The company's total income decreased by 7.4% year-over-year to ₹2,542.42 crore, down from ₹2,746.96 crore in the same quarter of the previous year. This decline in revenue indicates challenging market conditions for the aluminum products sector.

Despite the revenue drop, Nirav Commercials saw its net loss widen to ₹1,646.82 crore, marking a 14.4% increase compared to the ₹1,438.90 crore loss reported in the corresponding quarter last year. This suggests that the company is struggling to manage its costs effectively in the face of declining sales.

Per Share Performance

On a per-share basis, the company reported a loss of ₹1.06 for the quarter, compared to a loss of ₹1.22 in the same period last year. While this represents a slight improvement in the loss per share, it still reflects the ongoing financial challenges faced by the company.

Business Segment and Operational Challenges

Nirav Commercials Limited operates solely in the aluminum products manufacturing segment. The company's financial results indicate that it continues to face significant operational challenges, with both declining revenues and widening losses pointing to potential issues in market demand, cost management, or both.

Disclosure and Compliance

In compliance with regulatory requirements, Nirav Commercials Limited has published its unaudited financial results for the quarter ended June 30. The company has adhered to the Securities and Exchange Board of India (SEBI) Listing Obligations and Disclosure Requirements Regulations, 2015, by publishing the results in English and Marathi newspapers.

Conclusion

The Q1 results for Nirav Commercials Limited paint a picture of a company grappling with significant challenges in the aluminum products sector. With declining revenues and increasing losses, the company may need to implement strategic measures to improve its operational efficiency and financial performance in the coming quarters.