DCM Shriram Industries Limited (DCMSR) has issued a communication to its shareholders providing guidance on the apportionment of the cost of acquisition for equity shares of the company, DCM Shriram Fine Chemicals Limited (DSFCL), and DCM Shriram International Limited (DSIL). This follows the Composite Scheme of Arrangement sanctioned by the National Company Law Tribunal (NCLT) on November 21, 2025, which became effective on December 17, 2025. As per the scheme, shareholders as of the record date (December 26, 2025) received one equity share each in DSFCL and DSIL for every one equity share held in DCMSR. The communication clarifies that the cost of acquisition for shares in the resultant companies is to be apportioned based on the net book value of assets transferred. Shareholders are advised to apportion their total cost of acquisition of DCMSR shares in the following manner: 42.66% for DCM Shriram Industries Limited, 25.22% for DCM Shriram Fine Chemicals Limited, and 32.12% for DCM Shriram International Limited. For example, if shares were purchased for ₹1,00,000, then ₹42,660 would be the cost for DCMSR shares, ₹25,220 for DSFCL shares, and ₹32,120 for DSIL shares. The company also noted that the issuance of shares by the resultant companies will not be regarded as a transfer, and the acquisition date for these shares will be deemed the same as the acquisition date for the original DCMSR shares. This communication serves as general guidance, and shareholders are advised to consult their tax advisors for specific implications.
