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Key Highlights
- Deccan Transcon Leasing has issued an addendum with additional details on the planned sale of its investment in King Star Freight Private Limited.
- The transaction involves divesting the company’s 47.5% equity stake in its associate, King Star Freight Private Limited.
- An independent valuation estimates the stake’s indicative value at approximately 96.15 crore.
- The Share Purchase Agreement was dated 15 July 2026 and executed by all parties on 22 July 2026.
- Following completion, King Star Freight Private Limited will no longer be an associate of Deccan Transcon Leasing.
Deccan Transcon Leasing Provides Supplementary Disclosure
Deccan Transcon Leasing Limited submitted an addendum to its initial disclosure dated 8 June 2026 concerning the proposed sale of its investment in King Star Freight Private Limited. This additional information was provided under Regulation 30 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, along with the relevant SEBI circular.
The addendum offers further details related to the disposal of the company’s investment in King Star Freight Private Limited, currently an associate entity.
Details of the Proposed Transaction: 47.5% Equity Stake
The company plans to sell its entire holding of 47,500 equity shares, representing 47.5% of the paid-up equity share capital of King Star Freight Private Limited.
Upon completion, King Star Freight Private Limited will cease to be an associate company of Deccan Transcon Leasing.
This transaction pertains solely to the equity investment and does not involve any sale or disposal of Deccan Transcon Leasing’s undertakings.
Independent Valuation Estimates Stake Value at 96.15 Crore
An independent registered valuer has appraised the entire equity share capital of King Star Freight Private Limited at approximately 912.95 crore.
Accordingly, the indicative value of Deccan Transcon Leasing’s 47.5% shareholding is around 96.15 crore.
The company noted that no consideration has been received to date, and the transaction is subject to completion under the Share Purchase Agreement terms and necessary approvals.
Share Purchase Agreement and Completion Timeline
The Share Purchase Agreement is dated 15 July 2026 and was executed by all parties on 22 July 2026.
Deccan Transcon Leasing anticipates completing the transaction within 15 months, contingent on satisfying contractual conditions and obtaining required approvals.
No fixed completion date has been specified, with the transaction proceeding only after all regulatory and contractual requirements are met.
Related Party Transaction Conducted on Arm’s Length Basis
The proposed disposal is classified as a related-party transaction due to its involvement with an associate company.
However, the company confirmed the transaction value was determined by an independent registered valuer and will be executed on an arm’s length basis.
Deccan Transcon Leasing clarified that the disposal is outside the scope of a Scheme of Arrangement and that Regulation 37A of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, does not apply as the transaction does not involve sale, lease, or disposal of an undertaking.
Prior Board and Audit Committee Approvals
The Audit Committee recommended the transaction during its meeting on 8 June 2026, and the Board of Directors approved the proposal the same day, subject to necessary approvals and conditions.
This latest filing supplements the prior disclosure by including additional information mandated under Regulation 30 and the applicable SEBI circular.
Summary
Deccan Transcon Leasing has provided further regulatory disclosures regarding the proposed sale of its 47.5% stake in King Star Freight Private Limited. The filing details an indicative valuation of approximately 96.15 crore, the execution dates of the Share Purchase Agreement, the expected completion timeframe, and the regulatory framework overseeing the transaction. Upon conclusion, King Star Freight Private Limited will no longer be an associate company of Deccan Transcon Leasing.
