We wish to inform you that the Company has received a legal notice fron National Asset Reconstuction Company Limited (NARCL) dated 7th Feb 2026. A copy of the said notice is enclosed. ....
Awaiting price reaction for this filing.
Dharani Sugars has received a legal notice from NARCL (National Asset Reconstruction Company Limited), the lender, dated 7th February 2026, alleging multiple defaults under the Master Restructuring Agreement (MRA) signed on 24th May 2024. NARCL claims the company failed to allot 20% equity shares to it, did not set up a Rs.15 crore Debt Service Reserve Account, ignored a Rs.25 crore farmers' dues covenant, and has not paid Rs.10.48 crore that fell due on 31 December 2025. The plant has also not been restarted as planned under the restructuring. NARCL has given the company a one-month cure period, after which it will approach the Debt Recovery Tribunal (DRT), Chennai to seek a Recovery Certificate and recover the entire outstanding dues.
This raises serious concerns about the company's debt restructuring and could pressure the stock negatively. If the defaults are not cured within a month, NARCL may pursue aggressive recovery through the DRT, potentially escalating the company's financial distress and adding risk for shareholders.