Sir Shadi Lal Enterprises Limited , a prominent player in the sugar and alcohol industry, has reported a significant insider transaction. Rajat Lal, the company's Managing Director, has increased his shareholding through an open market purchase, demonstrating confidence in the company's prospects.

Transaction Details

On December 6, 2021, Rajat Lal acquired 5,141 equity shares of Sir Shadi Lal Enterprises Limited through the open market. The transaction was valued at Rs. 10,11,272, implying an average price of approximately Rs. 196.71 per share.

Impact on Shareholding

Following this acquisition, Rajat Lal's stake in the company has increased as follows:

This purchase has resulted in a marginal increase of 0.10 percentage points in Lal's ownership of the company.

Regulatory Compliance

In compliance with the Securities and Exchange Board of India (SEBI) regulations for substantial acquisition of shares and takeovers, Sir Shadi Lal Enterprises Limited has duly disclosed this transaction to the Bombay Stock Exchange (BSE).

Company Overview

Sir Shadi Lal Enterprises Limited operates in the sugar and alcohol/ethanol manufacturing sector. The company maintains two manufacturing units in Uttar Pradesh:

1. Upper Doab Sugar Mills at Shamli
2. Shamli Distillery and Chemical Works at Shamli

As of the latest available information, the total equity share capital of Sir Shadi Lal Enterprises Limited stands at 52,50,000 shares, each with a face value of Rs. 10.

Recent Corporate Developments

Sir Shadi Lal Enterprises Limited is currently involved in a significant corporate action. The company is part of a Composite Scheme of Arrangement that includes Triveni Engineering & Industries Limited and Triveni Power Transmission Limited. This scheme, which is pending regulatory approvals, involves the amalgamation of Sir Shadi Lal Enterprises into Triveni Engineering & Industries Limited.

The National Company Law Tribunal (NCLT) has directed meetings of equity shareholders, secured creditors, and unsecured creditors to consider and approve this scheme. These meetings are scheduled for November 30, 2025, indicating that the corporate restructuring process is ongoing.

This insider purchase by the Managing Director, amidst these corporate developments, may be seen as a positive signal regarding the company's future prospects and the potential benefits of the proposed amalgamation.

Investors and stakeholders should keep an eye on further developments related to both the insider transactions and the ongoing corporate restructuring process.

Sir Shadi Lal Enterprises Limited (SSEL) has taken a significant step forward in its proposed corporate restructuring plan. The company announced that it has received a 'no adverse observations' letter from BSE Limited regarding its composite scheme of arrangement with Triveni Engineering & Industries Limited (TEIL) and Triveni Power Transmission Limited (TPTL).

Scheme Details

The composite scheme involves a complex arrangement of amalgamation and demerger among the three companies:

1. Sir Shadi Lal Enterprises Limited (Amalgamating Company)
2. Triveni Engineering & Industries Limited (Amalgamated Company/Demerged Company)
3. Triveni Power Transmission Limited (Resulting Company)

This arrangement falls under Sections 230-232 and other applicable provisions of the Companies Act, 2013.

BSE Approval and Conditions

BSE's approval comes with 13 specific conditions and requirements that the companies must adhere to. Some key points include:

• Mandatory disclosure of ongoing legal proceedings and enforcement actions against the companies, their promoters, and directors.
• Compliance with SEBI circulars and the Master Circular on Schemes of Arrangement.
• Ensuring that financial statements used in the scheme are not older than six months.
• Detailed disclosure requirements for shareholders, including pre and post-scheme financials, rationale for the scheme, and valuation details.

Next Steps and Implications

The BSE observation letter has a validity of six months for submission to the National Company Law Tribunal (NCLT). However, the scheme remains subject to other regulatory approvals.

Rakesh Kumar Yadav, Company Secretary of Sir Shadi Lal Enterprises Limited, stated that the company would make the observation letter available on its website for public reference.

Listing of Triveni Power Transmission Limited

An important aspect of this scheme is the potential listing of Triveni Power Transmission Limited's shares. This listing will require additional SEBI approval and compliance with specific conditions, including:

• Submission of an Information Memorandum to BSE with all necessary disclosures.
• Publication of newspaper advertisements with details about TPTL.
• Continuous disclosure of material information about TPTL.

Shareholder Considerations

Shareholders of the involved companies should note that:

• The scheme document will incorporate provisions to freeze allotted shares in the depository system until listing/trading permission is granted.
• There should be no change in TPTL's shareholding pattern between the record date and listing that could affect this approval.

This corporate action represents a significant development for Sir Shadi Lal Enterprises and its associated companies. Investors and stakeholders are advised to closely monitor further announcements as the scheme progresses through regulatory channels.