LEEL Electricals Limited has informed the Exchange about Commencement of commercial production/operations
Awaiting price reaction for this filing.
LEEL Electricals Limited's board approved the commencement of factory operations effective May 10, 2025, backed by an investment of about Rs 20 crore and an expected turnover of around Rs 75 crore for FY 2025-26. The board also accepted the resignation of the Company Secretary and the Executive Director/CFO, and appointed Mr. Bhoopendra Gaur as the new Executive Director and CFO. Approvals were granted for borrowings, inter-corporate loans, fund investments, and the appointment of Secretarial and Internal Auditors. The Annual Audited Financial Results for FY ended March 31, 2025 were also approved, showing a loss of Rs 86.86 lakh for the year. Importantly, the auditor's report highlights that the company was under NCLT liquidation proceedings, with the sale as a going concern approved to Krishna Ventures Limited (KVL) as the auction purchaser in June 2024, and the takeover process is still ongoing.
The restart of factory operations marks a fresh chapter for the company emerging from insolvency, with Rs 75 crore in projected FY26 revenue. However, FY25 results show losses, the takeover by KVL is still incomplete, and execution risk remains, so investors should track the new management's ability to deliver on revenue targets.