Description

SKF India Ltd demerger scheme approved by NCLT Mumbai. Record date set for 15 October 2025. Automotive and Industrial Business to be demerged into SKF India (Industrial) Limited with 1:1 share allotment ratio.

Summary

BSE has notified that SKF India Ltd (Scrip Code 500472) has fixed 15 October 2025 as the record date for its demerger scheme approved by the National Company Law Tribunal, Mumbai Bench. The scheme involves demerger of the Automotive and Industrial Business Undertaking into SKF India (Industrial) Limited. Shareholders will receive 1 fully paid-up equity share of Rs. 10/- each in the resulting company for every 1 equity share held in SKF India Ltd. The scrip will be transferred from ‘A’ Group to ‘T’ Group and will be part of Call Auction in Special Pre-open Session (SPOS) on 15 October 2025.

Key Points

  • NCLT Mumbai Bench has approved the Scheme of Arrangement for demerger between SKF India Ltd (Demerged Company) and SKF India (Industrial) Limited (Resulting Company)
  • Record date for determining shareholder entitlement: 15 October 2025
  • Ex-entitlement date: 15 October 2025 (Settlement No. DR-736/2025-2026)
  • Share exchange ratio: 1:1 (One equity share of Rs. 10/- in Resulting Company for every one equity share of Rs. 10/- in Demerged Company)
  • Automotive and Industrial Business Undertaking to be demerged from SKF India Ltd into SKF India (Industrial) Limited
  • Trading to be transferred from ‘A’ Group to ‘T’ Group effective 15 October 2025
  • Scrip will participate in Call Auction in Special Pre-open Session (SPOS) on 15 October 2025
  • Equity shares of resulting company (SKF India (Industrial) Limited) will be listed on BSE subject to compliance with requisite formalities

Regulatory Changes

Pursuant to SEBI Circular No. SEBI/Cir/ISD/1/2010 dated November 2, 2010, the equity shares of SKF India Ltd will be transferred from ‘A’ Group to ‘T’ Group with effect from 15 October 2025.

Pursuant to SEBI Circular No. CIR/MRD/DP/01/2012 dated January 20, 2012, the scrip shall be part of Call Auction in Special Pre-open Session (SPOS) on 15 October 2025. Trading members may refer to BSE notice no. 20120216-29 dated February 16, 2012 for further information on Enabling Special Pre-open Session.

Compliance Requirements

  • Trading members must note the record date of 15 October 2025 for determining shareholder entitlement
  • Trading members should be aware that the scrip will move to ‘T’ Group from 15 October 2025
  • Trading members must follow Special Pre-open Session (SPOS) procedures for this scrip on 15 October 2025
  • SKF India (Industrial) Limited must complete requisite formalities for listing of equity shares on BSE

Important Dates

  • 8 October 2025: Notice date and circular issuance
  • 15 October 2025: Record date for determining shareholder entitlement
  • 15 October 2025: Ex-entitlement date (Settlement No. DR-736/2025-2026)
  • 15 October 2025: Transfer of scrip from ‘A’ Group to ‘T’ Group
  • 15 October 2025: Special Pre-open Session (SPOS) implementation

Impact Assessment

Market Impact: High - The demerger represents a significant corporate restructuring that will result in two separate listed entities. The 1:1 share allotment ratio means existing shareholders will maintain equal stake in both the demerged and resulting companies. The transfer to ‘T’ Group (Trade-to-Trade settlement) will restrict intraday trading and require delivery-based settlement, potentially impacting liquidity and trading patterns.

Shareholder Impact: High - All shareholders on record date will receive additional shares in SKF India (Industrial) Limited. Portfolio holdings will be split between two companies, requiring adjustment in investment strategies and tracking.

Operational Impact: The Special Pre-open Session (SPOS) on 15 October 2025 will determine price discovery through call auction mechanism before regular trading begins. Trading members need to prepare systems and inform clients about the changes in trading mechanism and group classification.

Listing Impact: The resulting company SKF India (Industrial) Limited will be newly listed on BSE, expanding the number of listed entities in the bearing and automotive components sector.

Impact Justification

Major corporate restructuring involving demerger of significant business undertaking with 1:1 share allotment, trading group transfer to T Group, and SPOS implementation affecting all shareholders