Karamtara’s trusts anchor Singh family control at 92.05%

Karamtara’s two promoter trusts form part of a Singh family ownership structure holding 92.05% of its equity capital. The five promoters held 271,768,648 equity shares as of the Red Herring Prospectus date, combining direct stakes of Tanveer Singh, Rajiv Singh and Inderjeet Singh with two irrevocable discretionary trusts established on July 12, 2023.

How is Karamtara’s promoter ownership structured?

Karamtara’s promoter ownership is structured through three individual promoters and two promoter trusts. Tanveer Singh, Rajiv Singh, Inderjeet Singh, Inderjeet Tanveer Singh Trust and Inderjeet Rajiv Singh Trust together held 271,768,648 equity shares, representing 92.05% of Karamtara’s issued, subscribed and paid-up equity share capital as of the Red Herring Prospectus date.

The two executive brothers held 44.26% directly, based on their separately disclosed stakes. Tanveer Singh, Karamtara’s Chairman and Managing Director, held 65,425,593 equity shares, or 22.16%, while Rajiv Singh, the Joint Managing Director, held 65,264,305 shares, or 22.10%. Inderjeet Singh held 1,410,762 shares, representing 0.48%; the disclosure does not separately state the holdings of either promoter trust.

The disclosed figures show that the promoter block extends beyond the brothers’ direct shareholding. The three named individuals held 132,100,660 shares in aggregate, while the five-promoter total was 271,768,648 shares. Because the two trusts are also named as promoters, their inclusion is material to the reported 92.05% promoter holding, although Karamtara has not disclosed an allocation of shares between the trusts in this section.

Why do Karamtara’s two promoter trusts matter to family control?

Karamtara’s two promoter trusts matter because each is connected to one managing brother’s family while both are included in the five-promoter block. Inderjeet Tanveer Singh Trust and Inderjeet Rajiv Singh Trust were formed on July 12, 2023 and subsequently identified as promoter trusts. Karamtara states that, apart from this development, there was no change in control during the five years preceding the Red Herring Prospectus date.

Both trusts were formed as private irrevocable discretionary trusts under deeds dated July 12, 2023. Karamtara says each trust was formed to hold and manage assets settled in, gifted to or acquired by the trust for the welfare and benefit of its beneficiaries. Their stated objects include holding, deploying and investing trust property, along with providing for maintenance, medical expenses, insurance cover, social obligations, necessities and other financial assistance.

The trust arrangements sit alongside, rather than replace, the brothers’ disclosed direct stakes of 44.26% combined. The 92.05% promoter holding depends on the promoter shares remaining within the disclosed five-promoter structure. Karamtara does not state a future transfer plan, an individual shareholding for either trust, or a later plan to alter the trusts’ promoter classification.

Who administers the Inderjeet Tanveer Singh Trust?

Inderjeet Tanveer Singh Trust is administered by Inderjeet Singh, Tanveer Singh and Rajiv Singh, with Tanveer Singh designated as managing trustee. Inderjeet Singh is the settlor, or person identified by Karamtara as having settled the trust, and the trust was settled on July 12, 2023. Its registered office is at 401, Goswami Towers, Juhu, Mumbai.

The beneficiaries of Inderjeet Tanveer Singh Trust are Tanveer Singh together with his legal heir, and Gaitri Singh. The trust deed permits trust property to be increased from time to time, including through further settlement. That provision establishes a mechanism for additions to the trust property, but Karamtara does not disclose the value of property settled into the trust after July 12, 2023.

The trustee composition includes all three individual promoters, while Tanveer Singh leads the trust associated with his beneficiary branch. Karamtara identifies Tanveer Singh as Chairman and Managing Director and Rajiv Singh as Joint Managing Director. It separately states that Inderjeet Singh and the two promoter trusts do not have adequate experience in Karamtara’s line of business and have not actively participated in the company’s business activities.

Who administers the Inderjeet Rajiv Singh Trust?

Inderjeet Rajiv Singh Trust is administered by Inderjeet Singh, Rajiv Singh and Tanveer Singh, with Rajiv Singh designated as managing trustee. Like the Tanveer-family trust, it was formed as a private irrevocable discretionary trust through a deed dated July 12, 2023. Inderjeet Singh is its settlor and its registered office is also at 401, Goswami Towers, Juhu, Mumbai.

The beneficiaries of Inderjeet Rajiv Singh Trust are Rajiv Singh together with his legal heir, and Sonal Singh. Its deed also permits increases in trust property through, among other means, further settlement. Its stated objects match those disclosed for Inderjeet Tanveer Singh Trust, including managing, investing and administering assets for beneficiary welfare and other objects the trustees decide to undertake for beneficiaries.

The comparison between the trusts shows identical formation dates, the same settlor, the same three trustees and the same capacity for further settlement. The disclosed difference is the managing trustee and beneficiary branch. Tanveer Singh is managing trustee for the trust benefiting Tanveer Singh, his legal heir and Gaitri Singh, whereas Rajiv Singh is managing trustee for the trust benefiting Rajiv Singh, his legal heir and Sonal Singh.

How are the trusts classified in Karamtara’s wider ownership disclosures?

Karamtara classifies both trusts as promoters and also includes them in its promoter group under Regulation 2(1)(pp) of the Securities and Exchange Board of India Issue of Capital and Disclosure Requirements Regulations. The promoter-group entity list contains eight entries: two Hindu Undivided Families, the two promoter trusts, Inderjeet Hanwant Manbir Singh Trust and three Karamtara-named private companies.

Promoter-group classification differs from Karamtara’s group-company identification policy. A Board resolution dated May 22, 2026 provides that group companies can include certain related-party counterparties and promoter-group entities whose transactions exceed 10% of Karamtara’s consolidated revenue from operations for the last completed financial year. Karamtara identified Karamtara Agrotech Private Limited and Clean Max AME Private Limited as group companies, rather than either promoter trust.

Karamtara says promoters may be interested through their shareholdings, dividends or other distributions, directorships and transactions with Karamtara or its subsidiaries involving them, relatives or entities they control. It also reports no conflict of interest between the promoters and suppliers or third-party service providers crucial to operations, and no such conflict with lessors of immovable properties crucial to operations.

Conclusion

Karamtara’s 92.05% promoter holding combines the direct ownership of Tanveer Singh, Rajiv Singh and Inderjeet Singh with two family-linked promoter trusts created in July 2023. The disclosed structure gives each managing brother a direct stake exceeding 22% and a connected trust with beneficiaries from his respective family branch, while Inderjeet Singh is settlor and trustee of both trusts.

The next point to watch is any later disclosure on trust shareholdings, further settlement of trust property or a change in promoter classification. Karamtara states that each trust’s property can be increased through further settlement and that there has been no control change other than the July 12, 2023 formation and identification of the promoter trusts, but it does not disclose a subsequent restructuring plan.