JBM Auto seeks shareholder approval for INR 1,450 crore related party deal

JBM Auto Limited has initiated a postal ballot to obtain shareholder approval for material related party transactions with JBM Ecolife Mobility Private Limited. The proposed transaction involves providing financial support or assistance, including undertakings, sponsor support, comfort letters, and indemnities, totaling up to INR 1,450 crore over one year from the approval date. This amount represents approximately 26% of JBM Auto's consolidated turnover from the immediately preceding financial year.

The e-voting period for the postal ballot commenced on Tuesday, November 11, 2025, at 09:00 A.M. IST, and will conclude on Wednesday, December 10, 2025, at 05:00 P.M. IST. Shareholders registered as of the cut-off date, Friday, October 31, 2025, are eligible to vote. The results are expected to be declared on or before Friday, December 12, 2025.

JBM Ecolife Mobility, an 83% owned subsidiary of JBM Auto, is expanding its business in electric bus operations and the broader EV ecosystem, necessitating financial support. Existing transactions from the last financial year with JBM Ecolife Mobility included inter-corporate loans of INR 336 crore and INR 30.09 crore, bank guarantees of INR 38 crore, and sales of goods and services amounting to INR 195 crore.