16th AGM members approve disinvestment of two overseas subsidiaries, sale of rig and tug, director changes

Essar Shipping's 16th AGM (held 30.09.2026) approved disinvestment in two overseas wholly-owned subsidiaries — Essar Shipping DMCC, U.A.E. and OGD Services Holdings Ltd, Mauritius.

Sat 3 Oct 2026

Subsidiary net worth - U.A.E. subsidiary

Rs.705.48 Crore (Negative)

Subsidiary net worth - Mauritius subsidiary

Rs. 459.72 Crore (Negative)

Net worth contribution of the two subsidiaries

34.03% and 22.17%

Total income in last financial year (both subsidiaries)

Rs. Nil (0%)

Sale agreement and completion timeline

within 1 Year from the 16th AGM

What the company informed

Essar Shipping Limited informed the exchanges about the outcome of its 16th Annual General Meeting held on 30.09.2026, where members considered and approved a set of items including disinvestment in two overseas wholly-owned subsidiaries and the sale of two assets.

Disinvestment of two overseas subsidiaries

• Essar Shipping DMCC, U.A.E. — approved for disinvestment under Section 180(1)(a) of the Companies Act, 2013. Its net worth was Rs.705.48 Crore (Negative), with a net worth contribution of 34.03%.
• OGD Services Holdings Limited, Mauritius — approved for disinvestment under Section 180(1)(a). Its net worth was Rs. 459.72 Crore (Negative), with a net worth contribution of 22.17%.
• For both subsidiaries, the amount of total income in the last financial year was Rs. Nil (0%).
• For both, the date of the sale agreement and the expected date of completion of the sale are within 1 Year from the 16th AGM.
• Consideration is at Fair Market Value (FMP), subject to valuation report.
• The buyer in both cases is a group company — fellow subsidiary Essar Investment Holdings Mauritius Limited or any other Essar group entity. Both transactions fall within related party transactions and are at arm's length price subject to valuation report.
• Both disposals are stated as not outside a Scheme of Arrangement.

Sale of two assets

• Semisubmersible Rig – Essar Wildcat, owned by Essar Shipping DMCC, U.A.E. (wholly-owned subsidiary).
• Tug III, owned by Essar Shipping Limited.
• For both assets: the sale agreement and completion are expected within 1 Year from the 16th AGM, and consideration is at Fair Market Value (FMP), subject to valuation report.
• The buyer is stated as to be decided for both, and neither transaction is a related party transaction.

Board-related approvals

• Re-appointment of Mr. Rajesh Dhirubhai Desai as a director retiring by rotation, being eligible and offering himself for re-appointment; date of appointment 30.09.2026.
• Appointment of Mr. Subramanian Raman as an Independent Director of the Company; date of appointment 01.09.2026.
• Re-appointment of Mr. Suresh Ramamirtham as an Independent Director of the Company; date of appointment 01.09.2026.
• Each is listed with the reason for change as appointment, and the disclosure of relationship between directors is stated as not applicable in each case.
• General Related Party Transactions were also approved by the members.

How to read this

• Both subsidiaries being disinvested are shown with negative net worth — Rs.705.48 Crore and Rs. 459.72 Crore — and together account for 34.03% and 22.17% of net worth contribution, while their total income for the last financial year is Rs. Nil (0%).
• The two subsidiary disinvestments are with a group company and are related party transactions at arm's length price, subject to a valuation report.
• The asset sales (rig and tug) are not related party transactions, and the consideration for all four matters is at fair market value subject to valuation report.
• The timeline indicated for entering into the sale agreements and completing the sales or disposals is within 1 Year from the 16th AGM.
• The approvals are member approvals recorded at the AGM; the commercial terms of each transaction are linked to the valuation report.

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