Intimation of Record Date for allotment of equity shares post approval of reduction of equity share capital by the Hon''ble NCLT, Ahmedabad Bench
Awaiting price reaction for this filing.
Charms Industries Ltd has fixed May 20, 2026 as the Record Date to implement a share capital reduction approved by NCLT Ahmedabad. Under the scheme, each equity share of Rs. 10/- will be reduced to Re. 1/-, reducing the company's paid-up capital from Rs. 4,10,61,000 to Rs. 41,06,100. The reduction amount of Rs. 3,69,54,900 (which was lost or unrepresented by tangible assets) will be written off along with cancellation of capital reserve of Rs. 31,46,530. A total P&L debit balance of Rs. 4,01,01,430 will be eliminated. No cash will be paid to shareholders; they simply receive new shares of lower face value. The company had accumulated losses and pursued this restructuring to present a more realistic balance sheet.
Shareholders will see their shareholding re-denominated from Rs. 10 to Re. 1 per share with no cash payout. The company cleans up its balance sheet by writing off accumulated losses, which could be positive for future financial reporting, though the stock's nominal value will drop to one-tenth.