Outcome of Board Meeting

22nd July, 2026 BSE Ltd. National Stock Exchange of India Ltd. Regd. Office: Floor - 25, Listing Deptt., Exchange Plaza, Phiroze Jeejeebhoy Towers, Bandra Kurla Complex, Bandra (East), Dalal Street, Mumbai-400 001. Mumbai - 400 051 BSE Scrip Code: 543300 NSE Scrip: SONACOMS SUBJECT: Disclosure in terms of Regulation 30 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015 (“Listing Regulation”) including outcome of the Board Meeting held on July 22, 2026. Dear Sir/Madam Pursuant to Regulation 30 and other applicable provisions of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015 (“Listing Regulations”), we wish to inform you that the Board of Directors of Sona BLW Precision Forgings Limited (“Company”) at its meeting held today i.e. July 22, 2026, has, inter alia, considered and approved the following matters: 1. Approval of the carve-out and transfer of the Company's Electric Vehicle (“EV”) Business on a going concern Basis by way of slump sale to Sona Comstar eDrive Private Limited (“Sona eDrive”) and consequent formation of a joint venture with DENSO Corporation, Japan (“DENSO”) as the joint venture partner. The Board approved the carve-out and transfer of the Company’s Electric Vehicle (“EV”) Business to Sona Comstar eDrive Private Limited (“Sona eDrive” and/or “JV1”), currently a wholly owned subsidiary of the Company, on a going concern basis by way of slump sale. The EV Business proposed to be transferred comprises, inter alia, the development, design, manufacture, sale and marketing of air-cooled traction motors and generators, traction inverters, eAxle, and related products and technologies for electric and hybrid systems of 2 and 3-wheelers applications (“EV Business” and/or “JV1 Business”), and will be transferred pursuant to a Business Transfer Agreement (“BTA”). The EV Business will be transferred to Sona eDrive for an aggregate consideration of INR 8,932 million (Indian Rupees Eight Billion Nine Hundred Thirty-Two Million), subject to customary closing adjustments (as may be agreed under the BTA), payable in the following manner: I. cash consideration amounting to INR 8,575 million (Indian Rupees Eight Billion Five Hundred Seventy-Five Million), subject to customary closing adjustments, as may be agreed under the BTA; and II. for the balance consideration amount, equity shares to be issued by Sona eDrive to the Company. The transfer shall be undertaken on a slump sale basis as a going concern, without assigning individual values to the assets and liabilities comprising the EV Business. The Company executed the BTA and the required details of the BTA, as required under Regulation 30 of the Listing Regulations read with Schedule III thereto and the applicable SEBI Master Circular are enclosed as Annexure A. Separately, the Company has also entered into a Share Subscription Agreement (“SSA”) with Sona eDrive and DENSO, through which DENSO will purchase 49% equity shares in Sona eDrive at an enterprises value of INR 17,500 million (Indian Rupees Seventeen Billion Five Hundred Million), subject to customary closing adjustments (as may be agreed under the SSA). Hence, the shareholding of Sona eDrive/JV1(after such investment) will be as follows: • 51% shareholding will be held by the Company; and • 49% shareholding will be held by DENSO. The Company also executed a Shareholders’ Agreement (“SHA”) with JV1 and DENSO, to record their mutual understanding with respect to, amongst others, inter se rights and obligations by virtue of their shareholding in JV1, the management of JV1 and certain other matters as mentioned in the SHA. The details of SSA and SHA, as required under Regulation 30 of the Listing Regulations read with Schedule III thereto and the applicable SEBI Master Circular are enclosed as Annexure 2. Joint Venture with DENSO Corporation, Japan (“DENSO”) for Electric and Hybrid Powertrain Systems. The Board of Directors of the Company approved the execution of a Joint Venture Agreement (“JVA”) and Joint Development Agreement (“JDA”) with DENSO, for incorporation of a joint venture company (“JV2”) in India. Pursuant to the incorporation, the Company and DENSO will invest funds (aggregating to INR 535 million (Five Hundred Thirty- Five Million)), by subscribing to the memorandum of association of JV2. The proposed JV2 will undertake the development, design, manufacture, sale, marketing of liquid-cooled traction motors-generators, traction inverters and related products and technologies for electric and hybrid system of 4 wheelers and more than 4 wheeler applications (including passenger vehicles, commercial vehicles and other mobility applications), excluding eAxles and gears. Upon incorporation of JV2; • DENSO will hold 51% of the paid-up equity share capital of JV2; and • The Company will hold 49% of the paid-up equity share capital of the JV2 (pursuant to an investment of INR 262.15 million (Indian Rupees Two Hundred Sixty Two Million One Hundred Fifty Thousand)), Company executed JVA & JDA and the required and the details of JVA and JDA, as required under Regulation 30 of the Listing Regulations read with Schedule III thereto and the applicable SEBI Master Circular are enclosed as Annexure C1 and C2. The above transactions are subject to fulfillment of the customary conditions precedent, receipt of applicable statutory, regulatory and corporate approvals including shareholders’ approval of the Company, where applicable, and completion of such other actions as may be necessary in accordance with applicable laws and regulations and the transactions documents. 3. Re-constitution of Audit Committee of the Board of the Company. The Board of Directors, at its meeting held today, July 22, 2026, considered and approved the re-constitution of the Audit Committee of the Board of the Company by inducting Mrs. Priya Sachdev Kapur (DIN: 02406685), Non-Executive and Non-Independent Director, as a Member of the Committee. Accordingly, the re-constituted Audit Committee shall comprise the following members: S. No. Name Designation 1. Mr. Pradip Manilal Kanakia (DIN: 00770347) , Independent Chairman Director 2. Mr. Karamendra Daulet Singh (DIN: 00110827), Independent Member Director 3. Mr. Jeffrey Mark Overly (DIN: 09041143), Independent Member Director 4. Mrs. Priya Schdev Kapur (DIN: 02406685), Non-Executive Member and Non-Independent Director The meeting of Board of Directors of the Company commenced at 2:48 p.m. (IST) and concluded at 3:33 p.m. (IST). This is for your information and records. Thanking you, For SONA BLW PRECISION FORGINGS LIMITED Pankaj Gupta Senior Vice President (Legal), Company Secretary and Compliance Officer Enclosed: As above Annexure-A The details as required in terms of Regulation 30 and Schedule III of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015 read with SEBI Master Circular No. HO/49/14/14(7)2025-CFD-POD2/I/3762/2026 dated 30th January, 2026 are as under: - S. No. Particulars Details 1. The amount and Turnover (FY 2025-26) of the EV Business: INR 3,855 million percentage of the turnover or revenue or income and net worth Net Worth (FY 2025-26) of the EV Business: INR 3,471 contributed by such unit million or division or undertaking or subsidiary or associate company of the listed entity during the last financial year; 2. Date on which the July 22, 2026 agreement for sale has been entered into; 3. The expected date of The transaction is proposed to be completed on or completion of before 31st March, 2027, unless further extended by a sale/disposal; period as may be agreed between parties. 4. Consideration received Aggregate consideration of INR 8,932 million (Indian from such sale/disposal; Rupees Eight Billion Nine Hundred Thirty-Two Million), subject to customary closing adjustments (as may be agreed under the BTA), to the Company as follows: i cash consideration amounting to INR 8,575 million (Indian Rupees Eight Billion Five H [Showing first 8,000 characters — download PDF for full document]