Dhampur Sugar Mills is currently undergoing income tax search operations at its offices and production sites. The company has stated that it is providing full cooperation to the authorities during the search process.

Details of the Search Operation

According to a regulatory filing by the company, the Income Tax Department conducted a search under the Income Tax Act, 1961 at Dhampur Sugar Mills' corporate office and manufacturing units. The company has emphasized its full cooperation with the officials during the proceedings.

Company's Response

In response to the search operations, Dhampur Sugar Mills has:

• Offered clarifications and details sought by the tax officials
• Committed to providing any further clarification or information that may be required
• Assured compliance with legal obligations for disclosure from time to time

Regulatory Compliance

The company has duly informed the stock exchanges about the ongoing search operations, in compliance with Regulation 30 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015.

Impact on Operations

While the search operations are ongoing, there is no information available regarding any potential impact on the company's day-to-day operations or financial standing. Investors and stakeholders are advised to monitor further updates from the company for any material developments.

As the situation unfolds, Dhampur Sugar Mills is expected to provide additional information through appropriate channels, maintaining transparency with its shareholders and the market regulators.

Dhampur Sugar Mills Limited , a prominent player in the sugar industry, has announced a strategic move to diversify its business portfolio by venturing into the financial services sector. The company's board has approved a share purchase agreement to acquire a majority stake in Venus India Asset-Finance Private Limited, a non-banking financial company (NBFC) registered with the Reserve Bank of India (RBI).

Key Details of the Acquisition

Financial Snapshot of Venus India Asset-Finance

Strategic Implications

The acquisition aims to broaden Dhampur Sugar Mills' revenue base by entering the financial services sector, which offers scalable and high-margin opportunities. This diversification strategy is expected to:

1. Enhance shareholder value
2. Improve profitability
3. Expand market reach
4. Position the company for long-term sustainable growth across multiple sectors

Additional Information

• Goel Investments Limited, part of Dhampur's promoter group, will separately acquire an additional stake to hold 45.01% of Venus India Asset-Finance.
• The transaction requires RBI approval for the acquisition of more than 26% stake, change in control, and change in more than 30% of the directors of the target company.
• The completion deadline is set for one year from October 28, 2025, subject to fulfillment of conditions precedent specified in the share purchase agreement.

Regulatory Compliance

The acquisition is subject to regulatory approvals, particularly from the RBI, under the Master Direction – Reserve Bank of India (Non-Banking Financial Company – Scale Based Regulation) Directions, 2023. This approval is crucial for the proposed changes in ownership and control of Venus India Asset-Finance.

Dhampur Sugar Mills' move into the financial services sector through this acquisition marks a significant step in its business diversification strategy. As the company awaits regulatory approvals and works towards completing the transaction, stakeholders will be keenly watching how this expansion impacts the company's overall growth trajectory and financial performance in the coming years.