Premier Energies has successfully completed the first tranche of its strategic acquisition in Transcon Industrial Limited, acquiring a 34.21% equity stake for ₹250.00 crores. The company disclosed the transaction completion in its regulatory filing under Regulation 30 of SEBI Listing Obligations and Disclosure Requirements Regulations on December 24, 2025.

Transaction Overview

The acquisition represents a significant milestone in Premier Energies' expansion strategy through targeted equity investments. The company acquired 52,009 equity shares of Transcon Industrial through a preferential allotment on a private placement basis, establishing itself as a major stakeholder with over one-third ownership.

Acquisition Structure and Timeline

The acquisition is being undertaken pursuant to the Share Subscription and Shareholders Agreement dated October 23, 2025, which was subsequently amended. The agreement provides for a tranche-based acquisition structure linked to Transcon Industrial's capital expenditure requirements and fulfillment of conditions precedent, without any change in valuation or overall consideration.

Strategic Implications

This ₹250.00 crores investment establishes Premier Energies as a significant stakeholder in Transcon Industrial Limited. The substantial 34.21% ownership position provides the company with considerable influence in the target company's strategic decisions and operations.

The tranche-based approach allows Premier Energies to manage its capital deployment efficiently while ensuring alignment with Transcon Industrial's operational milestones. The remaining equity shares acquisition will proceed in due course, subject to the fulfillment of conditions precedent outlined in the amended agreement, ultimately targeting a controlling 51% shareholding in the target company.

Premier Limited , currently undergoing Corporate Insolvency Resolution Process (CIRP), has reported a loss of Rs 235.88 lakhs for the half-year ended September 30. The company, which has been under CIRP since January 2021, continues to face significant financial challenges.

Financial Performance

The company's financial results paint a grim picture of its current state:

Premier Limited's net worth has been completely eroded, raising concerns about its ability to continue as a going concern.

Operational Challenges

Manufacturing activities at Premier Limited's Chakan plant have remained suspended since March 3, 2020, due to a lack of working capital. This prolonged suspension has significantly impacted the company's operations and financial health.

Insolvency Process Update

The Committee of Creditors (CoC) approved a resolution plan submitted by Fab Metals Pvt. Ltd. with 92.47% consent in January 2022. However, the approval from the National Company Law Tribunal (NCLT) Mumbai Bench is still pending.

Other Developments

During the quarter, Premier Limited received compensation of Rs 164.00 lakhs from land acquisition by Dedicated Freight Corridor Corporation. This amount has been treated as other income in the financial results.

Auditor's Concerns

The company's auditors, Jayesh Dadia & Associates LLP, have raised several concerns in their review report:

1. Material uncertainty about the company's ability to continue as a going concern.
2. Lack of assessment of impairment for the company's assets.
3. Potential discrepancies in the claims admitted by the Resolution Professional and the amounts reflected in the financial results.
4. Incomplete updation of personnel records and employee dues calculations.

Conclusion

As Premier Limited continues to navigate through its insolvency process, the company's financial health remains precarious. The pending approval of the resolution plan by the NCLT will be crucial in determining the future course of the company.

Investors and stakeholders are advised to closely monitor further developments in the insolvency proceedings and any potential turnaround strategies that may be implemented.