SEPC Ltd shares rose 4% on August 26 following the company's acquisition of a petroleum trading business in the United Arab Emirates.

According to SEPC, the existing share capital of SEPC FZE, comprising a single share of AED 150,000, will be subdivided into 1,500 shares of AED 100 each. A further 38,500 shares of AED 100 each will be issued through the capitalisation of reserves, creating a total equity pool of 40,000 shares.

The transaction establishes SEPC FZE, the company's UAE-based unit, as the vehicle for its petroleum trading operations in the region. The move marks a diversification beyond SEPC's core engineering, procurement and construction activity into commodity trading, a segment the company had not previously disclosed as a business line. The UAE, home to major energy trading hubs such as Abu Dhabi and Dubai, hosts a large cluster of international oil trading firms, making it a common jurisdiction for companies setting up petroleum trading operations.

SEPC, formerly known as Sterling and Wilson International Electrical Solutions, is an engineering, procurement and construction company. The listed entity has previously announced orders including an ₹854 crore contract from Steel Authority of India (SAIL) for its Burnpur expansion. The company has been rebuilding its order book in recent years after the debt-laden Sterling and Wilson group entities underwent resolution proceedings, following which SEPC came under new promoter ownership and was renamed.

The stock move came amid broader share market activity on the day. Details of the acquisition were disclosed in the company's regulatory filing. Investors will be watching subsequent filings for financial details of the acquired business, including its revenue contribution and any related-party considerations, which were not part of the initial disclosure.

Source: CNBC-TV18 Markets