Open Offer Details

Onix Renewable Limited and its associates are aiming to acquire an additional 19.28% stake in Sarda Proteins Limited for ₹19.90 crore. The open offer price is set at ₹115 per share. This move follows the recent conversion of warrants, which has increased the acquirer's stake to 80.72%, positioning them to become part of Sarda Proteins' promoter group.

Impact on Control

This development signifies a significant increase in promoter control for Sarda Proteins, moving from no promoter stake to a majority holding under Onix Renewable. Upon successful completion, the acquirer group will effectively control the company's strategy and operations.

Historical Context

Sarda Proteins historically dealt in food products like edible oils and protein and planned a pivot towards the solar energy sector. Its management changed in FY 2018-19 after an acquisition. Previously, in 2019, Ritika Vegetable Oil Private Limited and its associates launched an open offer for Sarda Proteins, acquiring a stake at ₹6.26 per share. Sarda Proteins approved convertible warrants at ₹115 each in April 2025, aligning with the current open offer price.

Key Changes for Sarda Proteins

• The acquirer group, Onix Renewable and its associates, will hold 80.72% of Sarda Proteins' voting share capital.
• Onix Renewable and its associates will officially become part of Sarda Proteins' Promoter and Promoter Group.
• This consolidation could lead to major strategic, operational, and management changes within Sarda Proteins.
• The company's planned pivot to the renewable energy sector may be accelerated or integrated with Onix's existing operations.

Risks to Watch

A significant discrepancy exists in Sarda Proteins' paid-up share capital records between the Ministry of Corporate Affairs (MCA) and the Bombay Stock Exchange (BSE). The acquirers must maintain minimum public shareholding (MPS) rules, needing corrective action if missed within 12 months. Sarda Proteins has historically shown weak financial metrics, including negative P/E ratios and low returns on equity, alongside significant liabilities. The planned pivot to solar energy is a major business transformation with execution risks.

Peer Comparison

Sarda Proteins historically operated in edible oils and protein, with competitors like Gokul Agro Resources Ltd. in India's edible oil industry. However, Sarda Proteins' current market capitalization is very small (around ₹12 Cr), making it a different category compared to large edible oil companies like Patanjali Foods (₹33,000 Cr) or Adani Wilmar (₹85,000 Cr). The acquirer, Onix Renewable, is a large, unlisted renewable energy firm with significant revenue (₹1001.3 Cr in FY25) and an order book over ₹13,000 crore, operating in a sector with players like Sterling and Wilson Renewable Energy and Borosil Renewables.

Offer Price Context

As of March 2026, Sarda Proteins had 0% promoter shareholding, with 100% held by retail investors. The offer price of ₹115 per share was previously set as the issue price for convertible warrants in April 2025.

What to Track Next

• Publication of the Detailed Public Statement (DPS) by March 27, 2026.
• Receipt of necessary statutory and regulatory approvals.
• Management's strategy for integrating Sarda Proteins' operations with Onix Renewable's business.
• Execution of Sarda Proteins' planned pivot towards the solar energy sector.
• Progress on resolving the noted discrepancies in Sarda Proteins' share capital records.