Swiss Military Consumer Goods Ltd acquires AAA Shenyang Container Seal Pvt Ltd

Market Times - market news
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Pursuant to the resolution passed by the shareholders of Swiss Military Consumer Goods Ltd at their Annual General Meeting held on 04th September, 2021, the company have acquired 100% shareholding of AAA Shenyang Container Seal Private Limited and established a wholly owned subsidiary of the Company for RFID Seal business. AAA Shenyang Container Seal Private Limited shall be treated as Material Subsidiary of the company.

Promoshirt SM Private Limited, a Company which is substantially owned and controlled by our Promoters, Mr. Anuj Sawhney and Mrs. Ashita Sawhney, had entered into a Joint Venture Agreement with M/s Hongkong Shining Fortune Trading Co. Limited, Hongkong, on May 24, 2018, for the sole purpose of establishment of a Joint Venture in the name of AAA Shenyang Container Seal Private Limited, for the purpose of producing eseals, other security seals and parts, communication equipment, electronic information technology development, electronic product sales and import and export of business.

Since the company has acquired 100% shareholding of AAA Shenyang Container Seal Pvt. Ltd. from both Joint Venture partners at the fair value calculated as per RBI guidelines, therefore transection between company and Promoshirt SM Private Limited falls within the ambit of related party transection at arm’s length prices.

The Company has acquired 2076111 equity shares (100%) of AAA Shenyang container seal Private Limited and 1 equity share is transferred to Mr. Anuj Sawhney as nominee shareholder to complying with the statutory requirement of minimum number of shareholders in a private company as per Section 2(68) of the Companies Act 2013.