Euro Pratik Sales to take 51% Drashti stake for Rs 31.1202 crore

Euro Pratik Sales Limited approved a Rs 31.1202 crore cash investment on November 5, 2026 to acquire 51% of Drashti Surfaces Private Limited, whose acquired laminates and veneer undertaking reported Rs 107.4803086 crore turnover in financial year (FY) 2025-26. The proposed transaction is scheduled to close within 90 days of agreement execution.

What is Euro Pratik Sales acquiring from Drashti Surfaces?

Euro Pratik Sales is acquiring a controlling 51% equity stake in Drashti Surfaces, rather than directly buying its laminates and veneer undertaking. Drashti Surfaces was incorporated on August 2, 2024, and acquired the laminates and veneer manufacturing undertaking from November 1, 2026. The filing identifies laminates and veneer manufacturing as the target's contemplated line of business.

The board approved the transaction at its November 5, 2026 meeting, which began at 4:30 p.m. and concluded at 5:05 p.m. Euro Pratik Sales said no governmental or regulatory approval is required. It also stated that the transaction is not a related-party transaction and that no promoter, promoter group or group company has an interest in Drashti Surfaces.

How is Euro Pratik Sales structuring the Rs 31.1202 crore investment?

Euro Pratik Sales will obtain its 51% stake through a combination of fresh share subscription and purchases from existing shareholders. The company will subscribe to 11,870 new shares for Rs 26.8262 crore and buy 1,900 existing shares for Rs 4.294 crore. The total of 13,770 shares carries an aggregate investment of Rs 31.1202 crore.

Euro Pratik Sales disclosed that the entire Rs 31.1202 crore consideration will be paid in cash. The announcement does not state the agreement execution date, the source of funds, or the commercial terms attached to the fresh issue and secondary share purchase. Consequently, the stated 90-day completion period does not establish a calendar closing date.

How will Drashti Surfaces change Euro Pratik Sales' product offering?

Euro Pratik Sales said Drashti Surfaces will expand its portfolio through in-house manufactured laminates and veneer. The September 30, 2026 standalone financial-results notes describe Euro Pratik Sales' primary business as surface decorative products and state that it has no separate reportable segment under Indian Accounting Standard 108, which covers operating segments.

Management said Drashti Surfaces' relationships with institutional and overseas customers could also support sales of Euro Pratik Sales' own products. The acquired undertaking has a presence across India and exports to South-East Asia, the Middle East and Africa. The filing does not quantify its customer count, export revenue, production capacity, expected sales crossover or future profit contribution.

Drashti Surfaces reported nil turnover in both FY 2024-25 and FY 2025-26 because it acquired the manufacturing undertaking only from November 1, 2026. The three-year turnover history disclosed in the filing therefore relates to the acquired undertaking, not to Drashti Surfaces' standalone operations before that date. This separates the target company's own reported history from the operating history of the business now held by it.

What do the acquired undertaking's turnover figures show?

The acquired undertaking recorded turnover of Rs 107.4803086 crore in FY 2025-26, compared with Rs 92.1049693 crore in FY 2024-25 and Rs 95.9766125 crore in FY 2023-24. Turnover declined between FY 2023-24 and FY 2024-25, then increased in FY 2025-26 to exceed both earlier years.

The Rs 107.4803086 crore FY 2025-26 turnover is an annual sales figure for the undertaking, while Rs 31.1202 crore is the cash investment for 51% of Drashti Surfaces. The disclosure does not provide the undertaking's profit, margins, assets, liabilities, working-capital requirement or purchase-price allocation. It therefore does not permit an earnings-based assessment of the proposed acquisition.

What is Euro Pratik Sales' financial position before the proposed closing?

Euro Pratik Sales reported Rs 1.0214 crore of cash and cash equivalents and Rs 14.6887 crore of current investments in its standalone balance sheet at September 30, 2026. It also reported Rs 66.65 lakh of current borrowings and nil non-current borrowings at that date. These figures precede the November 5, 2026 board approval and do not identify how the cash consideration will be funded.

Total standalone assets were Rs 326.267 crore at September 30, 2026, compared with Rs 312.2589 crore at March 31, 2026, while total equity increased to Rs 293.7059 crore from Rs 267.73 crore. In the quarter ended September 30, 2026, revenue from operations was Rs 54.2962 crore, below Rs 65.2475 crore in the quarter ended September 30, 2025. Those reported financial results do not include a contribution from the undertaking acquired by Drashti Surfaces on November 1, 2026.

Conclusion

Euro Pratik Sales is using a Rs 31.1202 crore cash investment to secure control of Drashti Surfaces and add in-house laminates and veneer manufacturing to its surface decorative products business. The strategic rationale disclosed by management combines the manufacturing activity with access to institutional and overseas customer relationships, while the undertaking's turnover rose to Rs 107.4803086 crore in FY 2025-26 from Rs 92.1049693 crore in FY 2024-25.

The disclosed next step is completion on or before 90 days after the agreements are executed, with no governmental or regulatory approval required. Subsequent disclosures may clarify the closing date, funding source and the acquired undertaking's profit, assets, liabilities and contribution to Euro Pratik Sales' reported results.