Tube Investments added 2.69% in Shanthi Gears via a block deal, taking its holding to 73.16%. The gear maker's revenue fell to ₹519 crore in FY26.
Alpha Score of 50 reflects moderate overall profile with moderate momentum, poor value, moderate quality, strong sentiment.
Tube Investments of India bought a 2.69% stake in its listed subsidiary Shanthi Gears through a block deal on Friday, lifting its total holding to 73.16%. The Chennai-based company paid ₹77.49 crore in cash for 2.06 million shares at a face value of Re. 1 each. The transaction closed August 21 after board approval.
Shanthi Gears designs and manufactures industrial gears and gearboxes. Revenue for the fiscal year ending March 2026 was ₹518.72 crore, down from ₹604.62 crore the prior year but above the ₹536.05 crore reported in 2023-24. The company's paid-up equity capital is ₹7.67 crore.
Tube Investments shares traded at ₹2,889 on the NSE Friday afternoon, down 1.4% from the previous close of ₹2,930. The stock carries a market capitalisation of roughly ₹55,905 crore. It has gained about 10% year to date but fallen 6.8% over the past twelve months. Tube Investments is a member of the Nifty Midcap 50 index and operates in the auto components and equipment sector.
The increased stake gives Tube Investments tighter control over a subsidiary whose products feed into industrial machinery, electric vehicle drivetrains, and renewable energy equipment. A larger ownership share also simplifies operational integration, the company said in a filing. The acquisition was funded from internal accruals.
Shanthi Gears, incorporated in 1972, has been a listed entity for decades. The latest purchase follows a pattern of parent companies consolidating their holdings in publicly traded subsidiaries, a move that reduces minority-shareholder drag and aligns capital allocation. Tube Investments did not disclose plans for a full buyout.
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