Mahindra & Mahindra Limited informed that its subsidiary Mahindra Agri Solutions Limited (MASL) has agreed to divest its entire 91.59% stake in paid-up Equity Share Capital of Merakisan Private Limited (MKPL), a subsidiary of MASL.
The company will sell the entire stake to MKPL’s promoter Prashant Patil. Following the sale, MASL’s stake in MKPL would be Nil, and MKPL would no longer be a subsidiary of MASL, and therefore the Company.
MKPL’s net worth is negative, hence the compensation for the sale of the interest is a notional amount agreed upon by the parties. Prashant Patil is the founder and full-time Director and CEO of MKPL. He is an existing stakeholder of MKPL, owning 7.95% of the company’s paid-up equity share capital. The consideration received is Rs1 for sale of 1,16,05,000 equity shares.
