Godavari Biorefineries has received a show cause notice demanding approximately ₹17.02 crore in unpaid Goods and Services Tax (GST). The notice was issued by the Assistant Commissioner of Central GST, Audit, Belgavi, on August 21, 2026.

The tax authority alleges non-payment of GST on the supply of Ethylated Naphtha Alcoholic (ENA) for further manufacture of alcoholic liquor fit for human consumption. The company supplied ENA to the Karnataka State Beverages Corporation Ltd (KSBCL) without paying GST, classifying it as an exempted supply in its sales register and GST returns.

Details of the Demand

The total GST demand is split equally between central and state components. The specific breakdown of the claim is as follows:

The dispute covers the period from the financial year 2021-22 through October 2024. The notice was issued under Section 74(1) of the CGST/SGST Act, 2017.

Company Response

Godavari Biorefineries disclosed the receipt of the notice pursuant to Regulation 30 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015. The company stated it is currently examining the notice and evaluating the material impact on its financial and operational activities.

Management confirmed it will take appropriate legal steps, including filing replies or appeals, as advised by its legal counsel. No final determination on the liability or potential penalties has been made at this stage.

Godavari Biorefineries has secured a patent grant from the European Patent Office (EPO) for a pharmaceutical composition comprising novel anti-cancer compounds combined with a solubilising agent. The approval, granted on July 15, 2026, strengthens the company's intellectual property portfolio in the oncology sector by protecting a process designed to enhance the solubility and bioavailability of active therapeutic ingredients.

The patent, titled "Pharmaceutical Composition and a Process to Prepare the Same," specifically addresses the challenge of delivering potent anti-cancer agents through oral administration. By incorporating a solubilising agent, the composition aims to improve the therapeutic potential of the drugs, which is critical for treating various forms of cancer, including breast and prostate cancers. This development marks a significant step in the company's research and development efforts to create more effective pharmaceutical solutions for complex oncological conditions.

Patent Specifications

The following table outlines the key details of the patent grant as disclosed in the filing:

Strategic Significance

The grant provides Godavari Biorefineries with exclusive rights to the patented composition and its preparation process within designated European Contracting States. This intellectual property protection safeguards the company's innovation against infringement and supports potential future commercialization efforts in European markets. The focus on improving bioavailability through solubilisation techniques highlights the company's commitment to advancing formulation science in oncology.

Regulatory Disclosure

Godavari Biorefineries Limited disclosed the patent approval under Regulation 30 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015. The disclosure was made to the National Stock Exchange of India Limited and BSE Limited on August 11, 2026. Manoj Jain, Company Secretary and Compliance Officer, signed the communication confirming the receipt of the Grant Certificate from the EPO.