Delta Manufacturing Limited — Important, 13-12-2024: Sale or disposal

The Board of Directors of Delta Manufacturing Limited has approved the transfer of its soft ferrite manufacturing business to its wholly-owned subsidiary, MMG Ferrites Private Limited, on a slump sale basis. The business is expected to be signed before the end of December 2024, with completion anticipated by March 31, 2025. The total turnover from the soft ferrites business for FY 2023-2024 is reported at INR 16.1 crore, contributing to 19.27% of the company's revenue. Following the transfer, Premo, S.L. will acquire 50% of MMG, which will result in MMG ceasing to be a wholly-owned subsidiary. This restructuring aims to enhance strategic flexibility for technology upgrades and partnerships within a separate entity. Delta Manufacturing has scheduled an Extra-ordinary General Meeting on January 22, 2024, to discuss shareholder approval for these changes. Investors should watch closely as this strategic move could open new avenues for growth and collaboration.