Karma Energy Limited — Important, 30-12-2024: Disclosure of material issue

The Board of Directors of Karma Energy Ltd has approved the sale of its wholly-owned subsidiary, Bay Wind Projects Private Ltd (BWPPL), to Ram Krishna Iron Works Private Limited. This divestment entails selling 10,000 equity shares at a total consideration of ₹1,00,000, effective immediately. Post-transaction, BWPPL will cease to be a subsidiary of Karma Energy.

BWPPL has not significantly contributed to the financials for the last financial year, with a 0% contribution to consolidated income and net worth as of March 2024. The buyer, affiliated with the promoter group, is acquiring the shares at face value, indicating an arm's length transaction. This strategic move could streamline operations and refocus resources. Investors should maintain a positive outlook regarding the potential for enhanced operational efficiency following this divestment.