Allcargo Terminals Limited, along with its unlisted wholly owned subsidiary Speedy Multimodes Limited, has received a Notice of Demand under Section 156 of the Income-tax Act, 1961, pursuant to an assessment order issued by the Income Tax Department. The notice was received on May 13, 2026, and pertains to the block period from 01.04.2018 to 05.04.2025. The disclosure was made under Regulation 30 of the Securities and Exchange Board of India (Listing Obligations and Disclosure Requirements) Regulations, 2015.

Tax Demand Details

The assessment order was passed under Section 158BC of the Income-tax Act, 1961, covering the specified block period. The total tax demand raised across both entities amounts to Rs. 53,03,89,321. The table below presents a breakdown of the demand by entity:

The alleged contravention cited by the Income Tax Department is non-disclosure of income.

Nature of the Demand and Company's Position

Out of the total demand of Rs. 53,03,89,321, an amount of Rs. 49,12,94,793 pertains to the disallowance of deduction claimed under Section 80IA of the Income-tax Act, 1961 for Assessment Years 2023-24 to 2025-26. The issue relates to a long-standing interpretational matter concerning the eligibility of deduction in respect of the company's CFS business undertaking.

Allcargo Terminals has noted that similar issues arising in earlier years in the case of the predecessor entity have been adjudicated favourably at the appellate stages, including relief granted by the Commissioner of Income Tax (Appeals). The company has stated that the deduction claimed is in accordance with the applicable provisions of law and is supported by judicial precedents, and is accordingly pursuing appropriate legal remedies.

In respect of the balance demand amounting to Rs. 3,90,94,527, the company is in the process of examining the order in detail and shall pursue such legal remedies as may be considered appropriate.

Operational and Financial Impact

Allcargo Terminals has clarified that the aforementioned matter does not have any impact on the operations, business continuity, or underlying financial position of the company. The intimation has been filed pursuant to Regulation 30 read with Schedule III of the Listing Regulations and SEBI Master Circular No. HO/49/14/14(7)2025-CFD-POD2/I/3762/2026 dated January 30, 2026. The disclosure has also been uploaded on the company's website.

Allcargo Terminals Limited has received the Monitoring Agency Report for the quarter ended March 31, 2026, from Crisil Ratings Limited, the Monitoring Agency appointed to oversee the utilisation of proceeds from the company's Rights Issue. The report was submitted pursuant to Regulation 32(6) of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, read with Regulation 82 of the SEBI (Issue of Capital and Disclosure Requirements) Regulations, 2018. The report confirms that there has been no deviation from the objects of the issue as disclosed in the Letter of Offer.

Rights Issue Overview

The Rights Issue involved 3,97,98,999 partly paid-up equity shares issued at a price of Rs. 20 per share, with an issue period from Monday, November 24, 2025 to Tuesday, December 9, 2025. The gross proceeds of the issue aggregate to Rs. 7,959.80 lakhs. Of this, application money of Rs. 1,989.95 lakhs was received during the quarter ending December 31, 2025, while the remaining Rs. 5,969.85 lakhs is to be raised through additional calls as decided by the Board from time to time.

The key parameters of the Rights Issue are summarised below:

Objects of the Issue and Cost Allocation

The gross proceeds of Rs. 7,959.80 lakhs are allocated across three primary objects as disclosed in the Letter of Offer dated November 10, 2025. No revision to the original cost allocation has been made. The allocation is detailed below:

The Board of Directors approved the reallocation of gross proceeds based on actual receipts through a resolution dated February 10, 2026. Issue expenses of Rs. 61 lakhs are to be funded from internal accruals, with the entire gross proceeds directed towards the objects of the issue.

Utilisation of Proceeds for Quarter Ended March 31, 2026

As at the end of the quarter ended March 31, 2026, a total of Rs. 1,492.46 lakhs had been utilised from the gross proceeds, leaving Rs. 6,467.34 lakhs unutilised. The progress against each object is presented below:

General Corporate Purpose Utilisation — Related Party Transactions

During the quarter ended March 2026, Rs. 994.97 lakhs under General Corporate Purpose was utilised for part financing of rental payments to related parties — M/s Allcargo Logistics Limited and M/s Transindia Real Estate Limited — for Container Freight Stations at Kolkata Port and JNPT, Navi Mumbai respectively. These transactions were conducted in the ordinary course of business, on an arm's length basis, and within approved Related Party Transaction limits as per the Monitoring Agency's report.

Deployment of Unutilised Proceeds

The unutilised proceeds have been parked in a designated account. As at the end of the quarter, Rs. 497.49 lakhs was invested in the Allcargo Terminals Limited Allotment Account (Account No. 57500001888759) with HDFC Bank, maturing on February 17, 2027, earning Rs. 3.75 lakhs during the quarter at a return of 6.25%, with a market value of Rs. 501.24 lakhs at quarter end.

Implementation Timeline and Compliance

The Monitoring Agency confirmed no delay in utilisation towards the objects of the issue, based on the Management Undertaking and Peer Reviewed Independent Chartered Accountant Certificate dated May 2, 2026, issued by M/s Appan & Lokhandwala Associates, Chartered Accountants (Firm Registration Number: 117040W). The expected completion timelines for each object remain on track as per the Letter of Offer.

The report was signed by Shounak Chakravarty, Director, Ratings (LCG) at Crisil Ratings Limited, and the same has been made available on the company's website at https://www.allcargoterminals.com/right-issue/ .