Usha Martin approves Rs. 77 crore sale of UM Cables business
As filed · USHAMART: Usha Martin Limited has informed the Exchange regarding Outcome of Board Meeting held on September 24, 2026 related to Slump Sale of the Business Undertaking of U M Cables Limited ( Wholly O
What happened
FactUsha Martin and its wholly owned subsidiary U M Cables approved the sale of UMCL’s entire optical-fibre and related cables business to R R Kabel on a going-concern slump-sale basis for Rs. 77 crore, subject to working-capital adjustments. Completion remains subject to UMCL shareholder approval and other conditions under the business transfer agreement; UMCL will remain a wholly owned subsidiary of Usha Martin.
Why it matters
CapitSignal interpretationSelling a business converts an operating asset into cash; what the cash is then used for decides whether holders benefit.
Scale
- 3.3% of FY26 revenue
₹77 Cr stated in the filing against ₹2,312.03 Cr revenue (FY26, standalone)
Source: financial_facts · exchange_table
What management said before
Prior statements by this company that CapitSignal has recorded changing.
Debt
RevisedOn the balance sheet front, we paid INR 157 crore of debt during the quarter entirely through internal accruals.
As a result, our net cash position stood at INR 111 crore and ROCE of 20.3% from continued operations.
Change
FactImplication
CapitSignal interpretationWatch next
Fact- Sale consideration
- Stated use of proceeds
- Revenue and profit leaving the group
- Going forward, we intend to invest approximately ₹200–250 Crore annually to further expand capacity in high-gr (management committed by FY27)
Evidence
- USHAMART: Usha Martin Limited has informed the Exchange regarding Outcome of Board Meeting held on September 24, 2026 related to Slump Sale of the Business Undertaking of U M Cables Limited ( Wholly Owned Subsidiary ).(opens the original filing in a new tab)
- Earlier statement · Q2 FY26
- Latest statement · Q2 FY26
- Earlier statement · Q2 FY26
How CapitSignal classified this
- Reasoning:
- The disposal exits Usha Martin’s optical-fibre and related cables business and is intended to concentrate capital on its core wire and wire ropes operations. The unit represented a relatively small share of consolidated revenue and net worth.
- Matched on:
- the filing's own subject line
- Confidence in the event type:
- 75%