Ganga Forging Limited has submitted the Letter of Offer to the National Stock Exchange of India Limited (NSE) and the Securities and Exchange Board of India (SEBI) for its rights issue of 20,22,03,345 fully paid-up equity shares. The issue aims to raise ₹32.96 crore at a price of ₹1.63 per share, including a premium of ₹0.63 over the face value of Re.1. The rights entitlement ratio is fixed at 3 Rights Equity Shares for every 2 fully paid-up Equity Shares held by eligible shareholders as on the record date of July 02, 2026.

Rights Issue Details

The rights issue is scheduled to open on July 10, 2026, and close on July 20, 2026. The on-market renunciation period for Rights Entitlements (REs) will run from July 10 to July 15, 2026. The company has secured in-principle approvals from the NSE via a letter dated February 16, 2026. The issue proceeds are intended for repayment of loans availed for the solar power project and railway clip manufacturing activities, capital expenditure, and meeting working capital requirements.

Regulatory Compliance

The board approved the issuance in accordance with the Companies Act, 2013, and SEBI (Issue of Capital and Disclosure Requirements) Regulations, 2018. The Letter of Offer was approved by the Board of Directors on June 25, 2026, and submitted to the exchanges on June 27, 2026. The company has arranged with NSDL and CDSL for the credit of Rights Entitlements (REs) in dematerialized form under the ISIN INE691Z20015. The outstanding equity shares are expected to increase from 13,48,02,230 prior to the issue to 33,70,05,575 post-issue, assuming full subscription.

Ganga Forging Limited reported a net loss of ₹365.38 lakh for the financial year ended March 31, 2026, compared to a net profit of ₹61.31 lakh in the previous year. Revenue from operations declined to ₹3561.64 lakh in FY26 from ₹4321.94 lakh in FY25. The Board of Directors approved the standalone audited financial results for the quarter and year ended March 31, 2026, on May 29, 2026.

Financial Performance

The company recorded a total income of ₹3578.78 lakh for the year ended March 31, 2026, down from ₹4344.87 lakh in the corresponding period last year. Total expenses increased to ₹3984.21 lakh from ₹4299.88 lakh in FY25. For the quarter ended March 31, 2026, the company reported a net loss of ₹46.27 lakh, compared to a net loss of ₹15.40 lakh in the same quarter of the previous year.

Assets and Liabilities

The total assets of the company stood at ₹6049.14 lakh as of March 31, 2026, compared to ₹5868.29 lakh as of March 31, 2025. Total equity and liabilities increased to ₹6049.14 lakh from ₹5868.29 lakh. Borrowings, comprising non-current and current liabilities, rose to ₹2010.63 lakh from ₹1658.21 lakh in the prior year.

Auditor's Report

M. N. Manvar & Co., Chartered Accountants, the statutory auditors, issued an unmodified opinion on the financial results for the year ended March 31, 2026. The auditors confirmed that the financial results give a true and fair view in conformity with the Indian Accounting Standards. The meeting commenced at 12:20 PM and concluded at 01:00 PM on May 29, 2026.