Board approves demerger of Commodities (Trading) Activities into Tilak Jewels; 7:3 share ratio
Board of Tilak Ventures approved a Scheme of Arrangement on 27 October, 2026.
By ScoutQuest · · 2 min read
- Board Approval Date
- 27 October, 2026
- Share Entitlement Ratio
- For every 7 equity shares of Re. 1/- each held, 3 equity shares of Re. 1/- each in Tilak Jewels — 7:3
- Demerged Division Turnover (FY ended 31st July 2026)
- Rs. Nil
What the company has announced
Tilak Ventures Ltd has notified BSE that its Board of Directors, in a meeting held on 27 October, 2026, considered and approved a Scheme of Arrangement with Tilak Jewels Ltd. The Board meeting commenced at 5.00 P.M. and concluded at 7.10 P.M.
Under the Scheme, the Commodities (Trading) Activities of Tilak Ventures (the Demerged Company) will be demerged into Tilak Jewels Ltd (the Resulting Company) on a going concern basis. The Scheme is framed under sections 230 to 232 read with section 66 of the Companies Act, 2013, and covers the respective shareholders and creditors of both companies.
Share entitlement ratio
- For every 7 equity shares of face value of Re. 1/- each fully paid-up held in Tilak Ventures, shareholders will receive 3 equity shares of face value of Re. 1/- each, credited as fully paid-up, of Tilak Jewels Ltd.
- This is a ratio of 7 : 3.
- There is no cash consideration involved in the Scheme.
- Fractional entitlements, if any, will be consolidated as per clause 16 of the Scheme.
What happens to the two companies' shareholding
- There will be no change in the shareholding pattern of Tilak Ventures, the Demerged Company.
- The entire pre-scheme issued, subscribed and paid-up equity share capital of Tilak Jewels held by Tilak Ventures along with its nominees will stand cancelled, extinguished and annulled by operation of law, without any further act or payment of consideration.
- Simultaneously with the allotment to shareholders of Tilak Ventures, a mirror image of the shareholding structure will be created in both companies.
Size of the business being demerged
- Turnover of the Commodities (Trading) Activities, the demerged division, for the financial year ended 31st July 2026 was Rs. Nil.
- That represents Nil % (approx.) of the total revenue of the Demerged Company for the same period.
Listing
Upon the Scheme becoming effective, Tilak Jewels Ltd will apply for listing of its equity shares on BSE Limited in accordance with applicable laws.
Why the company says it is doing this
The stated rationale is to follow current global industry practice for size, scalability, integration, greater financial strength and flexibility, to maximise shareholder value and pursue higher long-term financial returns. The company describes the Scheme as a strategic reorganisation that separates the Commodities Trading division so as to unlock shareholder value through a more focused business approach and better operational efficiency.
What a shareholder should take away
This is a corporate restructuring step that, if completed, gives shareholders a direct holding in Tilak Jewels Ltd in addition to their existing holding in Tilak Ventures. The demerged trading division recorded Rs. Nil turnover in the last financial year, so the business being transferred is small in revenue terms as disclosed. The Scheme is an approval by the Board; it takes effect only after the required approvals and conditions are completed, and the new shares will be listed on BSE thereafter.
Also from Tilak Ventures
Board approves Q2 results; limited review finds no material misstatement
4 Nov 2026
Board meeting scheduled for 04th November, 2026 to consider Q2 and half year results
30 Oct 2026
Board approves demerger of Commodities (Trading) Activities; 7:3 share entitlement for shareholders
27 Oct 2026
More numbers
- Turnover of Commodities (Trading) demerged division, FY ended 31st July 2026Rs. Nil
- Demerged division turnover as share of total revenueNil % (approx.)
- Tilak Ventures shares for entitlement7 (seven) equity shares
- Tilak Jewels shares to be allotted3 (Three) equity share
- Face value per share of both companiesRe. 1/- each
- Share entitlement ratio7 : 3
Nothing here is a view, opinion or recommendation of ScoutQuest, its parent, directors or employees. ScoutQuest is a technology company: this page was assembled automatically from public sources using artificial intelligence, and may contain errors or omissions. Confirm everything against the original source before you act on it. Any use of this page is at your own risk, and neither ScoutQuest nor its parent, directors or employees accepts liability for it.