The shares, having a face value of ₹10 each, were acquired at ₹174 per share, including a premium of ₹164 per share. Following the acquisition, CIE Automotive India continues to beneficially hold 100% of CIE Hosur.
CIE Hosur, which operates in the automotive industry, will use the funds raised through the rights issue for repayment of intercorporate loans, capital expenditure and general corporate purposes. The acquisition has been completed and does not require any government or regulatory approvals, according to the company.
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CIE Hosur was incorporated on August 6, 2021, under the Companies Act, 2013, and has its registered office in Hosur, Tamil Nadu. The subsidiary reported a turnover of ₹1,751.95 million in 2025, compared with ₹1,347.02 million in 2024 and ₹1,123.73 million in 2023.
The transaction does not constitute a related-party transaction, as the shares were acquired under the rights issue. Apart from CIE Automotive India’s existing holding, the promoter, promoter group and group companies have no other interest in CIE Hosur.
Second Quarter Results
For the second quarter of calendar year 2026, CIE Automotive reported a 15.5% year-on-year increase in net profit to ₹236 crore, compared with ₹204 crore in the corresponding period last year.
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Revenue from operations rose 11% to ₹2,621 crore from ₹2,369 crore, while EBITDA increased 16% to ₹390 crore from ₹337 crore. EBITDA margin improved to 14.9% from 14.2% a year earlier.
The company’s India business continued to drive growth, with revenue rising 13% year-on-year. However, EBITDA margin for the domestic business declined by 80 basis points, as margins were slightly affected by price inflation arising from the conflict in West Asia.
In Europe, revenue increased 7% year-on-year, while EBITDA margin expanded by 340 basis points. The company said real sales growth in euro terms declined 6%, with reported revenue benefiting from a 13% positive impact from exchange rate movements.
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Separately, CIE Automotive said Rajendra Vadlapudi has resigned as Chief Executive Officer of the Iron Casting Division, effective at the close of business on July 22, 2026. Consequently, he has also ceased to be a Key Managerial Personnel of the company. Vadlapudi had been associated with CIE Automotive for 16 years. The company did not disclose the reason for his resignation.
Shares of CIE Automotive India Ltd ended at ₹383.65, down by ₹1.05, or 0.27%, on the BSE.
