Pursuant to Regulation 30 and Regulation 33 of SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, we wish to inform you that the Meeting of the Board of Directors ....
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Minolta Finance's board approved FY2026 audited results with a QUALIFIED auditor opinion due to underprovisioning (Rs 1.84 crore ECL understatement, Rs 2.43 crore+ interest not provided) and missing investment ownership documents. The company reported a net loss of Rs 142.81 lakhs despite revenue jumping to Rs 1,196.92 lakhs (from Rs 101.88 lakhs). Total assets surged to Rs 19,024.51 lakhs from Rs 5,878.53 lakhs, financed heavily by borrowings of Rs 17,792.69 lakhs. The board also approved a massive Rs 49.5 crore rights issue (45 crore shares at Rs 1.10, 4.5:1 ratio), appointment of Forum Jigar Gada as Managing Director, and acquisition of Anupam Stock Broking. The auditors also flagged that RBI approval for prior management change was not obtained.
The qualified audit opinion raises red flags about financial controls and asset quality, while the massive rights issue will significantly dilute existing shareholders. The company's rapid asset growth (3x) with simultaneous losses suggests aggressive but unprofitable expansion, though the capital raise may provide needed liquidity.