Deccan Transcon Leasing Limited — Important, 23-07-2026: Disclosure of material issue

Deccan Transcon Leasing (DTLL) is divesting its entire 47.5% stake in King Star Freight Private Limited, currently an associate company.

**Impact:**

* King Star Freight's last financial year (FY25-26) reported a standalone turnover of ~₹37.96 Cr and a net worth of ~₹12.79 Cr. DTLL's share of profit from this associate was ~₹1.39 Cr for FY25-26.

* DTLL expects to receive an indicative value of ~₹6.15 Cr for its stake, based on an independent valuation.

* Upon completion (expected within 15 months), King Star Freight will cease to be an associate of DTLL.

**Company's Response:**

* The stake is being acquired by King Star Freight Private Limited itself and Mr. Bejoy Varghese Vallikkunnel, an existing director and shareholder of King Star Freight (also a minor shareholder in DTLL).

* While a related party transaction, the deal is based on an independent valuation and is being conducted on an arm's length basis.

* DTLL's Audit Committee endorsed the proposed transaction, and the Board of Directors has approved the sale.