Jaykay Enterprises invested Rs 25 cr in its wholly owned subsidiary JK Defence & Aerospace using funds raised via a recent rights issue.

Put simply, the parent is handing the subsidiary money to get its business off the ground.

JK Defence was set up in July 2023 and has not started operations, so it has no turnover yet.

It is meant to make and trade defence and aerospace equipment, and its registered office is in New Delhi.

Jaykay still owns 100% of the subsidiary, and the deal needed no government or regulatory approval.

Because JK Defence is a group company, the filing also covered related party rules.

The company said this purchase does not count as a related party transaction under the law.

Jaykay raised Rs 154.29 crore in September by selling 2.06 crore partly paid-up shares at Rs 75 each.

The issue drew more bids than shares on offer, and allotment wrapped up before the month ended.

Shareholders had earlier approved a change in how part of those proceeds could be used.

In June, it made a similar Rs 1.5 crore investment in its other subsidiary, JK Digital & Advance Systems, which reported turnover of Rs 47.49 lakh for FY26.

There is more recent news from the group. In August, a group company won a Rs 60.01 crore order from BrahMos Aerospace to supply composite parts.

On 29 September, shareholders passed all 13 resolutions at the company’s 80th annual general meeting.

The statutory auditors, however, gave a modified opinion on the consolidated accounts for FY26, and management explained the points to members before the vote.

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