NCLT Approves Demerger of STL’s Global Services Business

National Company Law Tribunal (NCLT) has approved the demerger of Sterlite Technologies Limited’s (STL) Global Services Business into STL Networks Limited. This information was shared by the company in its stock filing dated 19th February 2025.

Sterlite Technologies’ Global services business deals with OFC network deployment and ‘end-to-end’ system integration. The company’s Global Services business offers services including fiber deployment, system integration, Fiber to the Home (FTTH) solutions, and fiber operation and maintenance, both in India and overseas.

Highlighting the rationale behind this demerger, STL mentioned that this move would “…enable focused managements [of the two resulting companies] to explore the potential business opportunities more effectively and efficiently in the respective business”.

STL highlighted several benefits of the demerger, stating that it will provide greater flexibility to pursue long-term projects. The newly formed company, STL Networks, will be better positioned to attract a diverse range of investors, strategic partners, and other stakeholders with a specific interest in the global services business.