Chemiesynth (Vapi) Limited has scheduled its 40th Annual General Meeting for September 30, 2026. The meeting will convene at the company’s registered office in Vapi, Gujarat, to transact ordinary and special business for FY26.

Capital Raise Proposal

The Board proposes issuing unlisted 5% Non-Convertible Cumulative Redeemable Preference Shares (NCRPS) on a private placement basis. The aggregate amount raised will not exceed ₹15 crore, divided into 1.5 crore shares of face value ₹10 each.

The funds are intended for long-term funding requirements, working capital needs, business expansion, and general corporate purposes. A valuation report dated August 11, 2026, by IBBI-registered valuer Mr. Bhavesh M. Rathod supports the issue price of ₹10 per share.

Related Party Transactions

Shareholders will vote on approving related-party transactions with group companies and promoters for FY27. The total annual limit for these transactions is capped at ₹36 crore across four entities:

• CS Speciality Chemicals Pvt Ltd: ₹15 crore limit for intercorporate deposits, loans, and goods/assets trade.
• CS Fine Interchem Pvt Ltd: ₹10 crore limit for purchase/sale of goods, assets, and services.
• Star Performance Chemicals Pvt Ltd: ₹1 crore limit for intercorporate deposits and interest.
• Promoters Satish B. Zaveri and Sandip S. Zaveri: ₹10 crore limit for receipt and repayment of unsecured loans.

Corporate Governance Changes

The agenda includes increasing the authorised share capital from ₹3.25 crore to ₹18.25 crore. This increase accommodates the proposed preference share issuance. Additionally, the company seeks approval to adopt a new set of Articles of Association aligned with Table F of Schedule I to the Companies Act, 2013.

Mr. Rushabh Mehta, a non-independent non-executive director, is liable to retire by rotation and seeks reappointment.

Regulatory Compliance and Shareholder Updates

Pursuant to Regulation 36(1)(b) of the SEBI Listing Regulations, the company has sent letters with web-links to the Annual Report for FY26 to members who have not registered email addresses. The cut-off date for this communication is September 23, 2026.

The company also reminds security holders holding physical securities to update KYC details as per SEBI Master Circular No. SEBI/HO/MIRSD/POD-1/P/CIR/2024/37 dated May 7, 2024. This includes recording PAN, address, mobile number, bank account details, specimen signature, and nomination choice. Payments for folios without updated details will only be made electronically from April 1, 2024 onwards. Shareholders are encouraged to dematerialize physical securities and register email IDs to avail online services.

Chemiesynth (Vapi) Limited reported a widened net loss of ₹58.37 lakh for the quarter ended June 30, 2026, compared to a loss of ₹45.63 lakh in the corresponding quarter of FY25. This deterioration occurred despite a modest rise in revenue from operations, which grew 5.6% year-on-year to ₹419.69 lakh from ₹397.46 lakh. The expanding loss signals continued operational pressure as the company navigates its financial performance in the early part of FY26.

The Board of Directors approved these unaudited financial results on August 12, 2026, pursuant to Regulation 30 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015. The results were subjected to a limited review by the statutory auditors, Manoj Shah & Co., who issued an unqualified report. The financial statements were prepared in accordance with Ind AS 34 and Section 133 of the Companies Act, 2013.

Financial Performance

While top-line growth was recorded, profitability remained under strain due to elevated expenses. Total income stood at ₹421.55 lakh, but total expenses reached ₹479.92 lakh, resulting in a pre-tax loss of ₹58.37 lakh. There was no tax expense recorded for the period.

Key expense drivers included cost of materials consumed at ₹192.34 lakh and other expenses at ₹235.87 lakh. Employee benefits expense remained stable at ₹75.43 lakh, while finance costs increased slightly to ₹28.11 lakh from ₹25.09 lakh in the prior year quarter.

Capital Raise and Preference Shares

In a move to strengthen its capital base, the Board approved increasing the authorized share capital from ₹3.25 crore to ₹18.25 crore. This involves an increase in equity shares and the introduction of preference shares. The proposal requires shareholder approval via a Special Resolution at the ensuing Annual General Meeting (AGM).

Additionally, the Board approved the issuance of unlisted Non-Convertible Cumulative Redeemable Preference Shares (NCRPS) on a private placement basis. Key terms include:

• Amount: Up to ₹15 crore (1,50,00,000 shares of ₹10 face value each).
• Coupon Rate: 5% per annum (cumulative).
• Tenure: 7 years from allotment.
• Listing: Unlisted.
• Redemption: Fully redeemable after 7 years; call and put options exercisable after 2 years.
• Security: Unsecured.

What the Numbers Show

The divergence between revenue growth (+5.6%) and expense growth (+8.3%) highlights margin compression in Q1FY26. While revenue improved sequentially from Q4FY26 levels where it was ₹550.25 lakh, the current quarter's lower revenue combined with high fixed costs like employee benefits and depreciation contributed to the loss. The company’s decision to raise ₹15 crore through NCRPS suggests a strategic focus on bolstering liquidity without diluting existing equity holders immediately, though it will incur cumulative dividend obligations.

Corporate Actions

The 40th Annual General Meeting is scheduled for September 30, 2026, at 11:00 AM at the registered office in Vapi. The cut-off date for remote e-voting is September 23, 2026. CS Nitin Sarfare has been appointed as the scrutinizer for the AGM. The Board also approved the related party transactions and the Directors' Report.