Aequs Limited has achieved a major legal victory with the Karnataka High Court setting aside an Income Tax Assessment Order demanding ₹779.56 million, providing significant relief to the aerospace and precision engineering company.

Court Decision Details

The Karnataka High Court at Bengaluru issued an order digitally signed on December 18, 2025, setting aside the original Income Tax Assessment Order and allowing Aequs Limited's appeal. The company received the court order copy on December 24, 2025, and filed a revised intimation with stock exchanges on December 26, 2025.

Background of Tax Dispute

The National Faceless Assessment Centre, represented by the Income Tax Department under the Ministry of Finance, had issued the Assessment Order on September 27, 2021, under Section 143(3) of the Income Tax Act. The order pertained to Financial Year 2017-18 (assessment year 2018-19) and raised a substantial demand of ₹779.56 million against the company.

Aggrieved by the assessment order, Aequs Limited filed a Writ Petition on October 21, 2021, before the Karnataka High Court at Bengaluru, seeking to stay the order and challenge its validity.

Regulatory Compliance

The company has made this disclosure in compliance with Regulation 30 of the Securities and Exchange Board of India (Listing Obligations and Disclosure Requirements) Regulations, 2015. This represents a revised intimation following the initial disclosure made on December 24, 2025.

Financial Impact

The favorable court ruling eliminates a significant financial liability that had been pending against Aequs Limited for over four years. The ₹779.56 million demand represented a substantial amount that could have impacted the company's financial position and cash flows.

The resolution of this long-standing tax dispute provides clarity and removes uncertainty that may have affected the company's operations and strategic planning since the original assessment order was issued in September 2021.

Amansa Investments Ltd-FDI and its associated entities have made a significant investment in AEQUS Limited, acquiring 5,01,32,863 shares representing a 7.48% stake in the company. The substantial acquisition was disclosed under the Securities and Exchange Board of India (SEBI) regulations for substantial acquisitions and takeovers.

Acquisition Details

The transaction involves three related entities working in concert: Amansa Investments Ltd-FDI, Amansa Holdings Private Limited, and Amansa Investments Ltd. The acquisition was completed with the formal disclosure filed through Citibank N.A. Securities Services acting as the authorized representative.

Shareholding Pattern Changes

The disclosure reveals changes in the acquiring entities' position in AEQUS Limited. The Amansa group's holdings have increased from a previously reported 6.50% to the current 7.48% stake, representing a strategic expansion of their investment.

Regulatory Compliance

The transaction was reported in accordance with Regulation 29(1) of SEBI (Substantial Acquisition of Shares and Takeovers) Regulations, 2011. The disclosure confirms that the acquiring entities do not belong to the promoter or promoter group category. Citibank N.A. Securities Services, with SEBI registration number IN-MU-FP-0562-15, facilitated the regulatory filing from their Mumbai office at FIFC, 9th Floor, C-54 & C-55, G-Block, Bandra-Kurla Complex.

Entity Information

The acquiring entities have been assigned specific PAN numbers for regulatory tracking. The coordinated acquisition suggests a strategic investment approach by the Amansa group in AEQUS Limited's business operations. The filing was submitted to the Bombay Stock Exchange at Phiroze Jeejeebhoy Towers, Dalal Street, Mumbai, ensuring compliance with market disclosure requirements.

The substantial acquisition reinforces the investment confidence in AEQUS Limited's aerospace and precision engineering business segment, with the Amansa group continuing to build its strategic position in the company.