SEBI warns Godrej Agrovet over delayed disclosures in Astec Lifesciences deal

Godrej Agrovet Limited has received an administrative warning from the Securities and Exchange Board of India (SEBI) for violations linked to delayed disclosures in its indirect acquisition of Astec Lifesciences.

The market regulator, in a letter dated September 29, observed that the company failed to comply with disclosure requirements under the SEBI (Substantial Acquisition of Shares and Takeovers) Regulations, 2011.

According to SEBI, the company delayed filings of changes in its shareholding when such changes exceeded 2% of Astec Lifesciences’ equity. The lapses covered four separate instances of acquisition — on February 9, 2017, March 20, 2019, February 28, 2020 and March 27, 2020 — with disclosure delays of 2,725 days, 383 days, 39 days and 11 days, respectively.

Also Read: Demystifying “related party transactions” in the light of SEBI’s order on Adani group



SEBI has cautioned the company to ensure strict compliance going forward, warning that any repetition would invite serious enforcement action under the SEBI Act and related regulations.

Godrej Agrovet clarified that the warning will not have a material impact on its financials or operations. Ahead of the disclosure, shares of Godrej Agrovet closed at ₹713.50 on the NSE, down 0.32% from the previous session.