Shares of Whirlpool of India Ltd skyrocketed 10% on 17 October after the company announced that they have executed several key agreements after securing approval from the Board of Directors of the company and the audit committee. 

The company announced in an exchange filing that it signed several key agreements, including a Brand License Agreement (BLA) with Whirlpool Properties, Inc.; a Technology License Agreement (TLA) and Transitional Services Agreement (TSA) with Whirlpool Corporation; a Services Agreement with Whirlpool Asia LLP; and a Deed of Assignment of Intellectual Property (IP Assignment Deed) with Whirlpool Corporation, along with corresponding confirmatory assignment deeds.

The company stated that these agreements aim to foster sustained growth and innovation while ensuring continued support from Whirlpool Corporation. It further clarified that all terms were negotiated at market value and are consistent with existing rates.

Under the BLA, Whirlpool Properties, Inc. granted the company a long-term exclusive brand license, allowing the use of the ‘Whirlpool’ brand across existing and new product categories, as detailed in Annexure 1. Through the TLA, Whirlpool Corporation provided the company exclusive access to specific technical know-how and licensed intellectual property for major domestic appliance categories listed in Annexure 2.

The TSA was designed to enable a smooth transition and operational separation where necessary, particularly for services exchanged between Whirlpool Corporation and the company.

Meanwhile, the Services Agreement, valid until 31 March 2029, will replace the previous annual arrangement and guarantee a pre-determined minimum service charge payable to the company for each financial year during the agreement period.

At 11:40 am, the shares of Whirlpool of India were trading 9.54% higher at Rs 1,355.90 on NSE. 

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