PPAP Automotive Limited has entered into a Settlement Agreement with Tokai Kogyo Co. Ltd and its joint venture company, PPAP Tokai India Rubber Private Limited (PTI). Under this agreement, PPAP will sell its entire 50% stake in PTI to Tokai Kogyo. Following the execution of the settlement agreement, PTI will no longer be a joint venture company between PPAP and Tokai. The effective date of the agreement is January 1, 2026, with an expected completion date for the sale by February 28, 2026. The consideration received from this sale is ₹100 Crore. The buyer, Tokai Kogyo Co. Ltd, is a Japanese company and is not part of the promoter group. The transaction is not considered a related party transaction. In the last financial year, PTI contributed ₹35.96 Crore (12.49%) to PPAP's net worth, with nil turnover. This transaction does not fall outside the Scheme of Arrangement.
