NRB Industrial Bearings Limited — Important, 23-01-2025: Disclosure of material issue

NRB Industrial Bearings Limited disclosed that the promoters have executed a Family Settlement Agreement to establish a clear framework for future management, ownership, and control within the Sahney family. The agreement aims to prevent disputes among family members regarding the management of NRB Group and NIBL Group. The HSZ Family, which includes key promoters, will assume exclusive control of NRB Group, while the DSS Family will manage NIBL Group. This realignment involves the transfer of shares and management rights, ensuring that each family maintains distinct control over their respective entities. A payment of INR 318 Crore will also take place between the parties. Noteworthy is the standstill obligation where neither family will engage in share transfers for 10 years, thus stabilizing management structures. This strategic move may enhance governance and clarity in operations, potentially assuring investors of a defined management direction moving forward. The company's control will remain with the DSS Family, presenting a focused leadership landscape.