SYNOPSIS: Sundaram Clayton has signed an agreement to sell 16.38 acres of land in Chennai to Canopy Living LLP for over Rs. 560 crore, with completion expected by February 2026, subject to conditions.
During Thursday’s trading session, shares of one of the leading manufacturers of engineered aluminium diecast components for the automotive sector surged nearly 6 percent on BSE, after executing a land sale deal worth more than Rs. 560 crores.
At 02:32 p.m., shares of Sundaram Clayton Limited were trading in the green at Rs. 1,340.6 on BSE, up by around 5 percent, compared to its previous closing price of Rs. 1,280.25, with a market cap of Rs. 2,955.5 crores. The stock has delivered negative returns of around 53 percent in one year, but has gained by over 11 percent in the last one month.
What’s the News
As per the disclosures with the latest stock exchanges, Sundaram Clayton Limited has executed an Agreement to Sell (ATS) with Canopy Living LLP for the sale of a 16.381-acre land parcel located at Korattur Village, Ambattur Taluk, Chennai District, Tamil Nadu. Canopy Living LLP is a joint venture between Arihant Foundations & Housing Limited and Prestige Estates Projects Limited.
The transaction is subject to the fulfilment of customary conditions precedent agreed upon by both parties. The company expects the deal to be completed on or before 11th February 2026.
As part of the transaction, Sundaram Clayton has already received an advance of Rs. 25 crore, with the remaining consideration of Rs. 535.67 crore payable at the time of execution of the final sale deed.
Financials
Sundaram Clayton reported a decline in revenue from operations, experiencing a year-on-year decrease of around 12 percent, from Rs. 563 crores in Q2 FY25 to Rs. 495 crores in Q2 FY26. Likewise, its net loss widened during the same period from Rs. 54 crores to Rs. 64 crores, representing a rise of nearly 19 percent YoY.
Sundaram Clayton Limited operates in the manufacturing of automotive components. It is one of the largest auto components manufacturing and distribution groups in India, and is also one of the leading suppliers of aluminium die castings
to the automotive and non-automotive sectors. Established in 1962, SCL provides high-quality, innovative solutions to global customers in the commercial and passenger vehicle segments.
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