Corporate News
Vadilal Enterprises Limited is seeking shareholder approval for a 12-month supply agreement with its related party, Vadilal Industries Limited, valued at approximately INR 1,426 Crores. The agreement, which is a continuation of an existing business relationship, will see Vadilal Enterprises distribute products manufactured by Vadilal Industries. The transaction is considered material, representing 117% of Vadilal Enterprises’ annual consolidated turnover and 95% of Vadilal Industries’ turnover. Certain directors of Vadilal Enterprises also hold positions and shares in Vadilal Industries, triggering the need for disclosure and shareholder approval under Indian regulations. The companies state the agreement will be conducted on an arm’s-length basis and is essential for the continued operation of Vadilal Enterprises.