Pace Digitek Limited has announced the formation of a new wholly-owned subsidiary, Lineage Defence And Aerospace Private Limited, marking the company's strategic expansion into the defence and aerospace sector. This move signifies Pace Digitek's intent to diversify its operations and enter specialized defence manufacturing.

Subsidiary Incorporation Details

Pace Digitek Limited has incorporated Lineage Defence and Aerospace Private Limited as a wholly owned subsidiary with an authorized capital of ₹10.00 lakh. The new entity is established to manufacture EMI/EMC equipment specifically for the defence sector.

Business Objectives and Operations

The subsidiary will focus on manufacturing Electromagnetic Interference (EMI) and Electromagnetic Compatibility (EMC) equipment specifically for the defence sector. The company's comprehensive business scope encompasses multiple specialized areas:

Core Manufacturing Activities

• Design, development, and manufacturing of defence-grade shelters and mobile modular shelters
• Production of aerospace components, subsystems, and ground support equipment
• Development of cybersecurity solutions and secure IT/OT infrastructures
• Manufacturing of communication systems and surveillance equipment

Research and Development

The subsidiary will undertake research, development, and innovation in defence engineering, aerospace sciences, and cybersecurity frameworks. This includes establishing laboratories, test facilities, simulation centres, and R&D units for technology advancement in artificial intelligence, automation, robotics, and secure communication systems.

Service Portfolio

The subsidiary will provide these services to government entities, quasi-government organizations, defence forces, public sector undertakings, corporate entities, and international bodies.

Strategic Partnerships and Intellectual Property

Lineage Defence and Aerospace Private Limited plans to collaborate with domestic and international companies, defence organizations, research institutions, and universities. The company will pursue technology transfer agreements, licensing arrangements, offset partnerships, and strategic alliances for technology development and global market expansion.

The subsidiary will also focus on developing and protecting intellectual property, including patents, trademarks, copyrights, designs, software, algorithms, and trade secrets related to defence technologies, aerospace engineering, and cybersecurity tools.

Regulatory Compliance

The incorporation constitutes a related party transaction as the wholly owned subsidiary will be a related party of Pace Digitek Limited. The company has confirmed that promoters, promoter groups, and group companies have no additional interest in this transaction beyond the standard subsidiary relationship.

Pace Digitek Limited announced significant corporate expansion plans following its Board of Directors meeting. The board approved the formation of multiple subsidiary companies as part of the company's strategic growth initiatives.

Board Approvals for Subsidiary Formation

The board meeting resulted in approval for several subsidiary formations:

Strategic Expansion Through TransGreenx Energy

The board approved the formation of two step-down wholly-owned subsidiary companies by TransGreenx Energy Private Limited, which is currently a wholly-owned subsidiary of Pace Digitek Limited. This structure will create additional operational entities under the company's corporate umbrella.

Regulatory Compliance and Disclosure

The announcement was made in compliance with Regulation 30 of the Securities and Exchange Board of India (Listing Obligations and Disclosure Requirements) Regulations, 2015. Pace Digitek has committed to providing further details and updates regarding these proposed subsidiaries as and when the events occur.

Corporate Structure Enhancement

These subsidiary formations represent a significant expansion of Pace Digitek's corporate structure. The varied ownership structures - ranging from majority stake to wholly-owned entities - suggest a diversified approach to business expansion and operational management.

The company indicated that comprehensive details regarding the proposed subsidiary and wholly-owned subsidiary companies will be disclosed in due course, ensuring stakeholders remain informed of developments as they materialize.