Asian Hotels (East) Ltd promoter gifts 11.7% stake to Arun Kumar Saraf

What Asian Hotels (East) Ltd announced

On 24 June 2026, Asian Hotels (East) Limited (BSE: 533227) filed a prior intimation under Regulation 10(5) of the SEBI (Substantial Acquisition of Shares & Takeovers) Regulations, 2011. The filing, submitted by promoter Arun Kumar Saraf, notifies the exchanges of a proposed acquisition of equity shares by way of gift from Mrs. Ratna Saraf, an immediate relative and fellow promoter. The transaction is classified as an inter‑se transfer and is exempt from the mandatory open‑offer provisions under Regulation 10(1)(a)(i).

"The acquisition is a gift of 20,26,520 shares (11.7196 % of the share capital) from Mrs. Ratna Saraf to Mr. Arun Kumar Saraf, to be completed before 30 June 2026."

The disclosure satisfies the requirement of filing at least four working days before the proposed acquisition date and includes detailed shareholding tables before and after the transfer.

Details of the proposed gift transfer

• Acquirer / Promoter: Mr. Arun Kumar Saraf (address: Grand Hyatt Residences, Off Western Express Highway, Santacruz(E), Mumbai).
• Transferor: Mrs. Ratna Saraf, a promoter of Asian Hotels (East) Ltd.
• Number of shares to be transferred: 20,26,520 shares.
• Percentage of total share capital: 11.7196 %.
• Consideration: Nil – the shares are being transferred as a gift.
• Proposed date of acquisition: On or before 30 June 2026.
• Regulatory exemption: General exemption under Regulation 10(1)(a)(i) for inter‑se transfers among promoters/relatives, meaning no open‑offer to other shareholders is required.
• Compliance statements: The acquirer declared that the price does not exceed 25 % above the applicable market price (irrelevant here as the price is nil) and affirmed compliance with Chapter V of the Takeover Regulations.

Shareholding impact

The filing provides a side‑by‑side comparison of shareholdings before and after the transaction:

• Before the transfer:

  • Arun Kumar Saraf held 13,098 shares (0.08 % of voting rights).
  • Umesh Saraf held 37,096 shares (0.21 %).
  • Saraf Industries Limited held 72,45,945 shares (41.90 %).
  • Total promoter group: 72,96,139 shares (42.19 %).
  • Mrs. Ratna Saraf held 40,53,040 shares (23.44 %).

• After the transfer:

  • Arun Kumar Saraf’s holding rises to 20,26,520 shares (11.72 %).
  • The Saraf family’s collective stake (including Saraf Industries and Umesh Saraf) becomes 53.91 % of the total voting capital, maintaining a controlling interest.

The gift does not dilute existing shareholders; it merely reallocates shares within the promoter family.

Key facts at a glance

Why this matters for investors

The transaction is a purely internal re‑allocation of equity within the promoter group and does not involve any cash outflow, new issuance, or dilution of the public share pool. Consequently, the immediate financial position of the company remains unchanged. However, the filing is material for investors because:

1. Transparency – SEBI mandates disclosure of any change in promoter shareholding that exceeds 1 % of the capital. The filing satisfies this requirement and provides a clear audit trail.
2. Control dynamics – Post‑gift, the Saraf family’s consolidated holding rises to 53.91 %, reinforcing its controlling position. This may affect future strategic decisions, board composition, and related‑party transactions.
3. Regulatory compliance – By invoking the exemption under Reg. 10(1)(a)(i), the promoters avoid the need for a public open‑offer, streamlining the transfer while staying within the legal framework.
4. No dilution risk – Existing minority shareholders retain the same proportion of ownership, and there is no impact on earnings per share or dividend entitlement.

Investors should monitor any subsequent filings that might indicate further intra‑group transfers or changes in the promoter’s intent, as such moves can signal shifts in corporate strategy.

Conclusion

Asian Hotels (East) Ltd has formally notified the exchanges of a promoter‑to‑promoter gift transfer amounting to 20.26 lakh shares (11.72 % of equity) from Mrs. Ratna Saraf to Mr. Arun Kumar Saraf. The transaction is exempt from an open‑offer, involves no cash consideration, and is slated for completion by 30 June 2026. While the move consolidates the Saraf family’s control, it does not affect the overall share capital or dilute existing shareholders. The filing satisfies SEBI’s disclosure obligations, and no further regulatory approvals appear pending beyond the standard compliance confirmations.