Outcome of the Board Meeting held on Friday, October 17, 2025.
Awaiting price reaction for this filing.
Carnation Industries reported nil revenue from operations for Q2 and H1 FY26 (ended September 30, 2025), booking a net loss of ₹35.07 lakhs versus a profit of ₹219.04 lakhs in H1 FY25 — the prior-year profit was driven by a one-time ₹233.84 lakh writeback of liabilities under the IBC resolution plan. The Board approved renaming the company to 'Ebravea Beverages Limited' to signal its pivot into the beverages/FMCG space, and proposed raising up to ₹150 crore via Private Placement, QIP, Rights Issue, FPO, or Preferential Allotment, with authorized capital proposed to rise from ₹7 crore to ₹35 crore. The company, which emerged from CIRP in June 2024 and got BSE listing approval in March 2025, has already paid ₹905.59 lakhs as part of acquiring shares in Oniv Beverages Pvt Ltd. The auditor flagged multiple emphasis-of-matter items including breaches of Section 180 (borrowing limits) and Section 186 (loan/investment limits) — since regularized by shareholder approval — along with classification of all PP&E as 'assets held for sale' and an unclaimed dividend of ₹1.42 lakh pending IEPF transfer. Operating cash flow was negative at ₹(41.43) lakhs for H1 FY26.
With zero operating revenue and mounting losses, the company is effectively a post-CIRP shell being repositioned in beverages — making the ₹150 crore fundraise critical but also signaling significant equity dilution risk for existing shareholders. The auditor's emphasis-of-matter notes on past statutory breaches and full PP&E reclassification point to governance and asset-quality concerns. The stock remains highly speculative and tightly linked to execution of the beverage pivot and successful capital raising.