We are submitting Scrutinizer Report, Voting Result and Disclosure under Regulation 30
Awaiting price reaction for this filing.
The 33rd Annual General Meeting of the company was held on September 30, 2025, via video conferencing. All 13 resolutions were passed, including adoption of FY25 financial statements, reappointment of Mr. Deepak Choudhari (DIN: 03175105) and appointment of Mr. Arunkumar Lalwani (DIN: 02270061) as Directors, ratification of Cost Auditor remuneration, and appointment of M/s Shrenik Nagaonkar & Associates as Secretarial Auditor for 5 years (FY26-FY30). Six material related party transactions with Arihant group entities (Denims, Syncotex Mills, Weaving Mills, Technoweavs) and individuals (Mr. Deepak Choudhari, Mr. Arunkumar Lalwani, Harsh Industries) were approved. A special resolution was passed to approve partial sale/disposal of 10,080 spindles (contributing Rs. 3,092.40 Lakhs or 30% of revenue) and 32 looms as part of a strategic shift from pure spinning to a composite textile (fiber to fabric) unit. Expected completion of asset sale is March 31, 2026, with proceeds to fund new machinery.
The company is restructuring its business model from spinning to a composite textile operation, which could improve margins but involves selling assets that generated 30% of revenue. The material RPTs with the Arihant group (closely linked to directors) passed with only 53.53% in favor from public shareholders, indicating notable public dissent on related-party dealings. Minority shareholders should monitor these inter-group transactions closely.