Digjam Limited has successfully concluded its postal ballot process with all four proposed resolutions receiving shareholder approval. The company submitted comprehensive voting results and scrutinizer's report to BSE Limited and National Stock Exchange of India Limited on March 27, 2026, in compliance with Regulation 44(3) of SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015.

Postal Ballot Overview

The postal ballot notice was dispatched on February 24, 2026, with the cut-off date set as February 20, 2026. The company has 33,550 shareholders on record, with voting conducted entirely through remote e-voting facility provided by National Securities Depository Limited. The e-voting period commenced on February 25, 2026, at 9:00 AM and concluded on March 26, 2026, at 5:00 PM.

Shareholding Structure

The company's total issued share capital comprises 2,00,00,000 shares distributed across different categories of shareholders.

Resolution-wise Voting Results

Related Party Transaction Approvals

The first two ordinary resolutions dealt with material related party transactions for financial year 2026-27. Resolution 1 concerned transactions with Reid & Taylor International Private Limited (formerly Krihaan Texchem Private Limited), while Resolution 2 involved transactions with Finquest Financial Solutions Private Limited and related individuals including Sri Hardik Bharat Patel, Sri Ruchit Bharat Patel, and Ms. Minal Bharat Patel.

Both resolutions received overwhelming support from public non-institutional shareholders, with promoter group appropriately abstaining due to their interested party status in these transactions.

Corporate Borrowing Authorizations

Resolutions 3 and 4 addressed special resolutions under the Companies Act, 2013. Resolution 3 sought approval for creation of charges/mortgages for borrowings under Section 180(1)(A), while Resolution 4 concerned borrowing limits under Section 180(1)(C).

These special resolutions witnessed active participation from the promoter group, with all 1,50,00,000 promoter shares voting in favor, demonstrating strong management confidence in the proposed borrowing framework.

Scrutinizer's Report

Ankit Sethi of Ankit Sethi & Associates, Practicing Company Secretaries, served as the scrutinizer for the postal ballot process. The scrutinizer confirmed that all resolutions were passed with requisite majority and that the electronic voting process was conducted in accordance with the Companies Act, 2013, and applicable SEBI regulations. The scrutinizer's report was dated March 26, 2026.

Regulatory Compliance

The voting results and scrutinizer's report have been made available on the company's website at https://www.digjam.co.in and on the respective stock exchange websites. Company Secretary & Compliance Officer Ritesh Krishna Kumar Mishra (ICSI Membership No.: A76039) signed the regulatory submission, ensuring full compliance with statutory requirements. The disclosure was made pursuant to Regulation 30 read with Part A of Schedule III of Listing Regulations.

Company Operations

The company operates from multiple locations with its registered office at Door No. 508/A/6, GVG Nagar, Pushapatthur, Swaminathapuram, Palani Taluk, Dindigul District, Tamil Nadu. The corporate office is located at 602, Boston House, 6th Floor, Suren Road, Andheri (E), Mumbai, Maharashtra, while warehouse facilities are situated in Bhiwandi at 1st Floor, Building No. J-13/Gala no. 06 to 10, Shree Arihant complex, Reti bunder Road, Kopar.

Digjam Limited (BSE: 539979, NSE: DIGJAMLMTD) has released its financial results for the quarter ended September 30, revealing a challenging period for the textile company. The firm reported a net loss of Rs 174.29 crore for Q2, a significant increase from the Rs 78.29 lakh loss reported in the same quarter of the previous year.

Financial Performance

The company's financial performance for Q2 shows mixed results across various segments:

Despite a significant increase in revenue, the company's bottom line remains under pressure, primarily due to losses from discontinued operations.

Operational Challenges

Digjam Limited faces several operational challenges:

1. Working Capital Deficit: As of September 30, the company's current liabilities exceeded its current assets by Rs 2,192.12 lakhs, indicating potential liquidity issues.

2. Discontinued Operations: The company has discontinued operations at its manufacturing facility in Jamnagar, effective March 31. Assets related to this facility, valued at Rs 5,339.42 lakhs, are now classified as Non-Current Assets Held for Sale.

3. Going Concern: Despite these challenges, the financial statements have been prepared on a going concern basis. Management expresses confidence in implementing operational and financial strategies to address these issues.

Strategic Developments

The Board of Directors has approved a Scheme of Arrangement with Reid and Taylor International Private Limited (RTIL). Key points of this arrangement include:

• Demerger of RTIL's Textile undertaking into Digjam Limited.
• Shareholders of RTIL will be allotted shares of Digjam.
• The appointed date for the scheme is July 1.
• Implementation is subject to necessary approvals and fulfillment of stated conditions.

Outlook

While Digjam Limited faces significant challenges, the management's strategic initiatives, including the proposed demerger and asset realization plans, may provide avenues for potential turnaround. However, the company's ability to overcome its working capital deficit and successfully transition from discontinued operations remains crucial for its future performance.

Investors and stakeholders should closely monitor the progress of the Scheme of Arrangement and the company's efforts to improve its financial position in the coming quarters.