Carborundum Universal has received a formal request from Yanmar Coromandel Agrisolutions Private Limited (YCAS) for reclassification from the company's promoter group category to public category. This request follows a significant change in YCAS's shareholding structure, prompted by a substantial fund infusion from Yanmar Asia (Singapore) Corporation Pte Ltd (Yanmar Singapore).

Key Details of the Reclassification Request

• Shareholding Change: Coromandel International Limited's (CIL) stake in YCAS decreased from 40% to 10.60%.
• Fund Infusion: Yanmar Singapore injected Rs. 149.72 crores into YCAS on September 27, 2024.
• Share Allotment: YCAS allotted 11,09,00,741 equity shares, each with a face value of Rs. 10, to Yanmar Singapore.
• Current Holding: YCAS currently holds no shares in Carborundum Universal.

Rationale for Reclassification

The reclassification request is based on YCAS no longer meeting the definition of a promoter group as specified in Regulation 2(pp) of SEBI (Issue of Capital and Disclosure Requirements) Regulations, 2018. This is due to CIL's reduced shareholding in YCAS, which is now below the 20% threshold.

Regulatory Compliance

In accordance with Regulation 31A of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, YCAS has confirmed that:

• It holds no voting rights in Carborundum Universal.
• It does not exercise control over the affairs of the company.
• It has no special rights or informal arrangements with the company.
• It is not represented on the board of directors and has no nominee director.
• None of its members act as key managerial personnel in the company.

Next Steps

1. The reclassification request will be presented to Carborundum Universal's Board of Directors for approval.
2. Upon receiving board approval, the company will seek further approvals from the National Stock Exchange of India Limited (NSE) and BSE Limited.

This reclassification, if approved, will reflect the current ownership structure more accurately and align with regulatory requirements. Investors and market participants are advised to take note of this potential change in the company's promoter group composition.

Carborundum Universal Limited , a leading manufacturer of abrasives, ceramics, and electrominerals, has announced the resumption of operations at its Electrominerals division facilities in Kerala. The company's plants in Ernakulam and Thrissur districts are now back in action following a period of suspension due to the COVID-19 pandemic.

Resumption of Operations

The reopening of these facilities comes after Carborundum Universal secured an exemption order from the Department of Industries, Government of Kerala. The company has also obtained necessary permissions from local administrative authorities to restart its operations.

COVID-19 Impact and Response

Like many businesses across India, Carborundum Universal had previously suspended manufacturing operations at various locations in compliance with government advisories aimed at controlling the spread of COVID-19. The resumption of activities at the Kerala facilities marks a significant step towards normalcy for the company.

Safety Measures in Place

In its announcement, Carborundum Universal emphasized that the health, safety, and well-being of its employees remain the top priority. The company stated that it has implemented necessary precautionary hygiene and safety measures at the reopened facilities to ensure a safe working environment.

Outlook for Other Facilities

While the Kerala Electrominerals division facilities are now operational, Carborundum Universal noted that operations at its other facilities will resume only when permitted by respective local administrative authorities. This phased approach to reopening aligns with the varying COVID-19 situations and regulations across different regions.

The resumption of operations at these key facilities is likely to be welcomed by stakeholders, as it signals a gradual return to regular production levels for Carborundum Universal. However, the company's overall recovery will depend on the reopening timeline for its remaining facilities and the broader economic conditions in the wake of the pandemic.