Arisinfra to raise Buildmex stake to 92 per cent in Rs 60 crore buyout

Arisinfra Solutions Limited has approved the acquisition of an additional 16 per cent stake in material subsidiary Buildmex-Infra Private Limited for Rs 60 crore, a move that would raise its ownership in the Construction-materials business to 92 per cent.

The board cleared the purchase of 16,000 equity shares from existing shareholder Balavignesh Subramani at its meeting on September 28, 2026. The cash transaction, which remains subject to closing adjustments, is to be completed on or before September 30, 2026.

Arisinfra said the acquisition would increase its economic interest in Buildmex and allow it to participate more substantially in the subsidiary’s future growth. Based on the agreed consideration for the 16 per cent stake, the transaction implies an equity valuation of about Rs 375 crore for Buildmex.

The valuation comes after rapid growth in Buildmex’s reported turnover. The subsidiary recorded turnover of Rs 17.93 crore in FY24, which rose to Rs 70.36 crore in FY25 and further to Rs 179.03 crore in FY26. Its FY26 turnover was therefore more than 2.5 times the previous year’s level.

Buildmex trades, procures, supplies and distributes raw materials used in infrastructure, buildings and construction activity. The business is directly aligned with Arisinfra’s wider strategy of expanding in execution-linked construction-material categories, including aggregates, ready-mix concrete, asphalt and other materials where supply reliability and Logistics management are important.

Arisinfra’s consolidated revenue from operations rose 39.1 per cent to Rs 1,067.46 crore in FY26. Management has previously said it is seeking to increase the contribution of contract manufacturing and Developer-as-a-Service, or DaaS, offerings, which it considers higher-margin than conventional B2B material trading. Buildmex is associated with the group’s trading and manufacturing activities, making the stake increase relevant to that mix-shift strategy.

The company said the proposed Buildmex transaction is not a related-party transaction since the selling shareholder is not related to Arisinfra. It added that no governmental or regulatory approvals are required.

Separately, the board approved a corporate guarantee for senior, secured, unrated and unlisted redeemable non-convertible debentures of up to Rs 20 crore proposed to be issued by Lionheart Trading Private Limited, formerly Arisinfra Trading Private Limited.

The guarantee will be issued in favour of Texterity Private Limited under a term sheet and definitive transaction agreements. Lionheart is a wholly owned material subsidiary engaged in infrastructure-material trading.

Arisinfra said the guarantee would create a contingent liability at the parent level. However, it said there is currently no impact because the facility is for a material wholly owned subsidiary within the consolidated group. The company also said its promoter and promoter group have no interest in the transaction, which has been undertaken on an arm’s-length basis.

The two decisions underline the group’s continued use of subsidiary structures to expand and finance its construction-materials platform. While the Buildmex purchase deepens ownership of a fast-growing operating unit, the Lionheart guarantee also highlights the role of subsidiary-level debt in funding growth and working-capital requirements in the logistics-intensive materials trade.

As of 1:01 pm on September 28, 2026, Arisinfra shares were trading at Rs 133.70, down 4.77 per cent from the previous close of Rs 140.40. The stock was about 23.8 per cent below its 52-week high of Rs 175.55. Over the preceding year, it had declined 11.84 per cent, compared with a 4.14 per cent decline in the BSE 500.

Disclaimer: The article is for informational purposes only and not investment advice.