Refex Shares Surge 17% as Board Greenlights Strategic Green Mobility Business Split

In a thrilling development that has captured the attention of traders and investors alike, Refex Industries witnessed a sharp surge in its share price—jumping 17.3% in early trading on Tuesday after the company’s board approved a transformative plan to restructure and unlock the immense potential of its Green Mobility business.

The board’s approval marks a significant milestone for Refex Industries, a company with over two decades of experience in sustainability-driven solutions spanning ash and coal handling, green mobility initiatives, and wind energy. The approved composite scheme involves a two-step process pivotal to Refex’s long-term growth strategy.

Unlocking Value Through Strategic Demerger

First, Refex Green Mobility Limited (RGML), a wholly-owned subsidiary, will be merged into Refex Industries Limited (RIL). Following this consolidation, the Green Mobility business will be demerged from RIL into a newly incorporated entity called Refex Mobility Limited (RML), which will be independently listed on both the BSE and NSE.

This move aims to create two focused, specialized platforms—RIL will continue to lead in its core businesses such as ash and coal handling, while RML will become a dedicated arm for sustainable mobility solutions, emphasizing clean-fueled vehicles and eco-friendly technologies.

Chairman and Managing Director Anil Jain expressed optimism about the restructuring, stating, “The Board’s approval of this scheme signals a new growth chapter for Refex. By creating a standalone listed platform for our Green Mobility business, we are sharpening strategic focus, unlocking immense value for shareholders of both Refex Industries and the new Refex Mobility entity. This move reaffirms our commitment to clean, technology-driven urban transport solutions.”

Strategic Benefits for Shareholders

The scheme ensures that shareholders of Refex Industries will receive equity shares in the newly created Refex Mobility Limited on a 1:1 basis, mirroring their existing stake. This mirror shareholding structure is designed to maintain investor confidence while creating differentiated investment opportunities — one focused on heavy industrial operations and the other on the high-growth clean mobility sector.

Refex’s market capitalization surged along with the stock price, reflecting investor enthusiasm for the company’s enhanced focus on the emerging and fast-expanding green mobility segment.

Financial Context and Future Outlook

Though the company reported a year-on-year revenue decline of around 35% and a net profit drop of roughly 30% in its core business during Q1 FY26, the strategic demerger is viewed as a crucial step towards unlocking latent potential and streamlining operations.

Industry analysts anticipate that creating a standalone green mobility entity can attract dedicated investments, enable faster decision-making, and allow sharper market positioning in India’s evolving eco-friendly transport landscape.

Furthermore, regulatory approvals from SEBI, NCLT, stock exchanges, shareholders, and creditors are pending; investors will be closely watching the progress of these processes as the scheme unfolds.

What This Means for Traders and Investors

For traders, the immediate price jump signals strong market belief in Refex’s strategic direction. Long-term investors should consider the potential diversification benefits of holding equity in two focused entities with complementary growth trajectories.

Refex’s commitment to sustainability and innovation in clean technology aligns with global trends favoring green energy and eco-friendly solutions — factors likely to drive value creation in coming years.

With environmental concerns gaining prominence, the creation of Refex Mobility Limited positions the company to capitalize on regulatory support and rising demand for green mobility, making it an attractive proposition for investors seeking exposure to the green economy within India’s industrial sector.

Key Highlights

• Refex Industries’ board approval of the green mobility business demerger is a transformational event that promises enhanced shareholder value and strategic clarity.
• Traders and investors are urged to watch developments closely as this restructuring could reshape Refex’s future and offer exciting new avenues for sustainable growth.