Addendum to the Notice of 37th Annual General Meeting to be held on Monday, 25th August, 2025
Awaiting price reaction for this filing.
The company has issued an addendum to the 37th AGM notice for the meeting scheduled on Monday, 25 August 2025 at 1:00 PM via video conferencing. The addendum adds a special resolution to alter the object clause of the Memorandum of Association to include new businesses such as batteries, solar panels, inverters, and electronic waste recycling. Key resolutions on the AGM agenda include: (1) adoption of FY25 audited financials, (2) re-appointment of Managing Director Geeta Sethi (DIN: 10317304) via rotation, (3) appointment of M/s VRSK & Associates as statutory auditor for 5 years, (4) appointment of M/s Parul Agrawal & Associates as secretarial auditor for FY26, (5) approval of amendments to loan agreements allowing conversion of unsecured loans into equity, (6) a massive hike in authorised share capital from ₹16 crore to ₹5,000 crore, and (7) preferential allotment of up to 1,56,75,87,748 equity shares (~156.76 crore shares) at ₹13.39 each to six non-promoter entities to convert ~₹2,099 crore of outstanding unsecured loans into equity.
The proposed preferential issue is highly dilutive — existing equity base of 1.6 crore shares would expand by nearly 100x if fully allotted, leading to substantial dilution for current shareholders. The company explicitly cites 'financial crunch and cash flow mismatch' as the reason for converting debt into equity, signalling ongoing financial stress. Shareholders should weigh the dilution risk against the company's debt relief and planned diversification into batteries, solar and e-waste businesses.