Notice of 27th Annual General Meeting
Awaiting price reaction for this filing.
Solana Biofuels Ltd (formerly Southern Online Bio Technologies Ltd) has called its 27th AGM on September 30, 2025 at 4:30 PM in Hyderabad. The meeting will consider adoption of audited financial statements for FY 2024-25 and the reappointment of Mr Brijmohan Venkata Mandala, who retires by rotation. A key special resolution seeks shareholder approval for material related party transactions involving unsecured loans of up to Rs 100 crore from Southern Biofe Biofuels Pvt Ltd, Rs 150 crore from promoter and MD Dr. Devaiah Pagidipati, Rs 50 crore from Anion Healthcare Services LLP, and Rs 50 crore from E Vaidya Pvt Ltd, all over a 3-year period, totaling up to Rs 350 crore. Another special resolution proposes appointing M/s P.S. Rao & Associates as Secretarial Auditors for 5 consecutive years (FY 2025-26 to FY 2029-30). The company describes itself as being in a revival stage and is seeking these loans to fund additional working needs.
Shareholders are being asked to approve significant related party borrowings that are several times the company's annual consolidated turnover (e.g., the Rs 150 crore loan from the MD represents 222.78% of turnover), which highlights the company's heavy dependence on promoter and related party funding. While approval is needed for the company to access these funds, the unusually large loans and ongoing losses signal financial stress that minority shareholders should weigh carefully before voting.