Synopsis:
Eimco Elecon is in focus as promoter Tamrock Great Britain Holdings plans to divest up to 24.68% stake through Offer for Sale at Rs. 1,400 floor price.
The company, a leading player in manufacturing and supplying mining and construction equipment, is in focus as its promoter plans to divest a significant 24.68% stake through an Offer for Sale. This article explores the details of the stake sale, floor price, and its immediate market impact.
Eimco Elecon Limited’s stock, with a market capitalisation of Rs. 1,090 crores, fell to Rs. 1,856, hitting a low of up to 8.6 percent from its previous closing price of Rs. 2,031.20. Furthermore, the stock over the past year has given a negative return of 30.8 percent.
Promoter sale
Tamrock Great Britain Holdings Limited, part of the promoter group, plans to sell up to 7,23,875 equity shares of the company, which is about 12.55% of its total equity. There is also an option to sell an additional 7,00,000 shares (about 12.14%). If this option is fully exercised, a total of 14,23,875 shares representing 24.68% of the company’s equity will be offered for sale. This sale will be carried out through the stock exchanges as per SEBI’s Offer for Sale (OFS) guidelines.
The share sale will happen over two trading sessions. On September 24, 2025 (T Day), only non-retail investors can place their bids between 9:15 a.m. and 3:30 p.m. They will also have the option to carry forward their unallotted bids to the next day, depending on availability. This ensures that institutional and large investors get the first chance to participate in the sale.
On September 25, 2025 (T+1 Day), the offer window will again remain open from 9:15 a.m. to 3:30 p.m. On this day, retail investors can place their bids, along with non-retail investors who carried forward and wish to revise their earlier bids. The floor price for the sale has been fixed at Rs. 1,400 per share, meaning no shares will be sold below this price.
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Q1 Financial Highlight
The company reported strong topline growth with revenue falling to Rs. 68 crore in Q1FY26, down 2.8% YoY from Rs. 70 crore in Q1FY25 and up 6.25% QoQ from Rs. 64 crore in Q4FY25. Over the last three years, revenue has compounded at 43% annually, reflecting steady business expansion.
Profitability also improved notably, with net profit at Rs. 14 crore in Q1FY26, a 6% YoY decline from Rs. 15 crore in Q1FY25 and same for QoQ. The company has delivered a 3-year profit CAGR of 78% and ROE CAGR of 10%, highlighting consistent earnings growth alongside improving returns.
Written By Fazal Ul Vahab C H
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