Linde seeks shareholder approval for ₹417 cr RPTs with Praxair India

Linde India schedules March 5 EGM to seek shareholder approval for Rs 417.7 crore related-party transactions with Praxair India for FY2025-26

Linde India has scheduled an extraordinary general meeting (EGM) on March 5 to seek shareholder approval for material related-party transactions (RPTs) proposed for FY2025-26 with Praxair India. Corporate governance experts said the move signals compliance with the RPT norms prescribed by market regulator Securities and Exchange Board of India (Sebi).

 

The development follows a December 2025 ruling by the Securities Appellate Tribunal (SAT), which upheld Sebi’s interpretation of the materiality threshold for RPTs in the case involving Linde India and its joint venture with Praxair India.

 

The multinational company had challenged Sebi’s findings, contending that the regulator had misapplied the definition of RPTs. However, the tribunal rejected the arguments, noting that the materiality thresholds are clearly laid out in the regulations.

 

 

Under Sebi norms, transactions exceeding ₹1,000 crore or 10 per cent of an entity’s annual consolidated turnover — whichever is lower — require prior shareholder approval.

 

At the March EGM, Linde India is seeking approval for RPTs worth ₹417.7 crore with Praxair India for FY2025-26.

 

“This shows that the company has accepted the market regulator’s interpretation of RPTs under the Listing Obligations and Disclosure Requirements (LODR), which is positive from a corporate governance standpoint,” said a regulatory expert.