Cera Sanitaryware Limited — Important, 17-03-2025: General Updates

Cera Sanitaryware Ltd has confirmed its exit from Milo Tile LLP, ceasing to be a partner as per a retirement and settlement agreement. Historically, Cera acquired a 26% stake in Milo for ₹8.06 crore, but issues arose in FY 2022-23 when Milo failed to meet product quality standards. This led Cera to stop procuring tiles and initiate claims for inferior products, which have now been settled through mediation. The total investment in Milo stands at ₹8.93 crore, with ₹6.55 crore provisioned in the books. The remaining amount of ₹2.38 crore will be written off as part of this decision. This strategic move reflects Cera's commitment to maintaining quality in its supply chain. Investors should monitor the company’s focus on operational excellence moving forward.