Please note that the paid-up share capital of the company is Rs.59,75,000/- and thereby not exceeding Rs. 10,00,00,000/- as prescribed under the above regulation. Further the Net worth ....
Awaiting price reaction for this filing.
Shah Foods Ltd has informed BSE that it qualifies for an exemption from submitting related party transaction disclosures under Regulation 23(9) of SEBI LODR Regulations. The exemption applies because the company's paid-up equity share capital is Rs. 59,75,000 (~Rs. 59.75 lakhs), well below the Rs. 10 crore threshold required for compliance. Additionally, the company's net worth is reported as negative at Rs. (56,42,270), i.e., liabilities exceed assets by about Rs. 56.42 lakhs as on 30th September 2025. As both criteria (capital below Rs. 10 crore and net worth below Rs. 25 crore) are met, the company is not required to file related party disclosures for the quarter and half year ended September 2025.
This is a routine compliance letter, but the negative net worth is a notable red flag for shareholders, suggesting the company is technically insolvent on a book-value basis. The exemption also means investors will not get standard related-party transaction disclosures this period, which reduces transparency. Existing investors should track the company's financial turnaround closely.