Sab Events & Governance Now Media Limited has informed the Exchange regarding 'Increase in the Authorized Share Capital of the Company'.
SABEVENTS · price
▲ positive · ▼ negative · ● neutral filings · teal = economic event · numbered = multiple that day (click to pick). Times IST.
Awaiting price reaction for this filing.
SAB Events & Governance Now Media has initiated a Pre-Packaged Insolvency Resolution Process (PPIRP) under the Insolvency and Bankruptcy Code, 2016, and appointed Mr. Kedar Parshuram Mulye as the Resolution Professional. The company also approved an increase in authorized share capital from Rs. 11.03 crore to Rs. 32 crore (equity shares rising from ~1.10 crore to ~3.20 crore shares of Rs. 10 each), subject to shareholder approval. For Q1 FY26 (June 2025), the company reported total income of Rs. 40.68 lakh and a net loss of Rs. 24.30 lakh, with negative total equity of Rs. (1,247.64) lakh. The auditor flagged material uncertainty about the company's ability to continue as a going concern, noting current liabilities are 4.82 times current assets and the company cannot service its debt. M/s HRU & Associates was also appointed as Secretarial Auditor for five years from FY26 to FY30.
This is a deeply negative development — the company is formally entering insolvency proceedings due to severe financial distress, negative net worth, and inability to service debt. Shareholders face significant risk of dilution or value erosion as part of the resolution plan, and the stock is likely to see sharp negative pressure. The authorized capital hike is likely aimed at enabling a restructuring or issuing shares to creditors/ new investors under the resolution framework.