Lumax Auto Technologies’ Board of Directors met on August 10, 2026, approving a significant capital expenditure of ₹156.23 crore for a new manufacturing plant for its Intelligent Ambient Comfort (IAC) Division. Additionally, the company approved a corporate guarantee of up to ₹8 crore to secure financing for its subsidiary, Lumax FAE Technologies Private Limited. These decisions reflect strategic expansion and support for subsidiary operations.
Board Approves Major Expansion and Subsidiary Support
On August 10, 2026, the Board of Directors of Lumax Auto Technologies Limited convened to approve several key strategic initiatives. A significant decision involved the establishment of a new manufacturing plant for the company’s Intelligent Ambient Comfort (IAC) Division, located in Chakan, Maharashtra. This ambitious project carries a capital outlay of approximately ₹156.23 crore and is designed to cater to new orders from Mahindra & Mahindra. The company anticipates this new facility will eventually contribute to an annualized turnover of around ₹440 crore, with commissioning planned in two phases by Q4 FY 2027 and Q1 FY 2028.
Subsidiary Financing Secured
In a move to support its subsidiary’s growth, the Board also sanctioned the issuance of a corporate guarantee, letter of comfort, or post-dated cheques (PDCs) to secure loans for Lumax FAE Technologies Private Limited (LFAE). This financial backing will be up to a maximum of ₹8 crore, intended to meet LFAE’s capital expenditure and working capital requirements. The transaction is confirmed to be at an arm’s length basis, with no foreseeable negative impact on Lumax Auto Technologies.
Financial Results Overview
The meeting also saw the consideration and approval of the un-audited standalone and consolidated financial results for the first quarter ended June 30, 2026. These results, along with the limited review reports from Price Waterhouse Chartered Accountants LLP, have been uploaded to the company’s website. Extracts of the consolidated results will be published in newspapers as per regulatory requirements.
Source: BSE
