In a significant development, entities forming part of the promoter group of VIP Industries have agreed to sell a 32% stake in the company through a share purchase agreement (SPA) signed on Sunday.
As per the company’s regulatory filing, five promoter group entities—Kemp and Company, DGP Securities, Kiddy Plast, Piramal Vibhuti Investments, and Alcon Finance & Investment—have entered into the SPA with a group of new investors including Multiples Private Equity Fund IV, Multiples Private Equity Gift Fund IV, Samvibhag Securities, Mithun Sacheti, and Siddhartha Sacheti. The transaction covers 4.54 crore shares, representing approximately 32% of the company’s total paid-up capital.
Additionally, a shareholders’ agreement (SHA) was signed between the promoter entities, Mr. Dilip Piramal (VIP’s promoter), and the new investors to outline rights related to company governance, board representation, and share transfers.
Following the completion of the transaction and fulfilment of certain conditions, the incoming investors are expected to acquire management and control of the company, thereby triggering an open offer for an additional 26% of the company’s voting share capital.
Key details:
-
Promoter group to sell ~32% stake via SPA dated July 13, 2025
-
Control and management to shift to the incoming investors post-deal
-
Open offer requirement will be triggered under SEBI takeover norms
-
Dilip Piramal will retain the right to nominate one board member
-
New investors include reputed entities from private equity and industry
Arpwood Capital acted as the exclusive financial advisor to the sellers.
This strategic transaction marks a major transition for VIP Industries and is expected to bring in new leadership and strategic direction, subject to regulatory approvals including clearance from the Competition Commission of India.
