Gratex Industries Limited has formally disclosed to the Bombay Stock Exchange that it does not qualify as a Large Corporate under the Securities and Exchange Board of India (SEBI) regulatory framework. The disclosure was made pursuant to SEBI Circular No. SEBI/HO/DDHS/CIR/P/2018/144 dated November 26, 2018, which establishes criteria for Large Corporate classification.

Regulatory Compliance Disclosure

The company submitted its initial disclosure confirming non-applicability as a Large Corporate, with Managing Director Karan Baldevkrishan Sharma signing the communication on April 13, 2026. The disclosure specifically references the applicability criteria mentioned in clause 2.2 of the SEBI circular, confirming that Gratex Industries Limited does not meet the threshold requirements.

Financial Position Details

As part of the mandatory disclosure format, the company provided key financial and operational details in a structured annexure:

The company's outstanding borrowings of Rs. 0.17 crore as of March 31, 2026, represent a significantly low debt level that places it well below the Large Corporate threshold criteria.

Regulatory Framework Context

The disclosure references two key SEBI circulars that govern Large Corporate identification and compliance requirements. The primary circular SEBI/HO/DDHS/CIR/P/2018/144 dated November 26, 2018, established the initial framework, while subsequent circular SEBI/HO/DDHS/P/CIR/2021/613 dated August 10, 2021, provided updated applicability criteria.

Under the regulatory framework, entities identified as Large Corporates face mandatory borrowing requirements through debt securities. Beginning from FY 2022, any shortfall in mandatory borrowing through debt securities attracts a fine of 0.2% of the shortfall amount, levied by stock exchanges at the end of each two-year block period.

Corporate Governance Structure

The disclosure documentation was prepared and signed by key members of the company's leadership team. Company Secretary and Compliance Officer Neha Arora and Chief Financial Officer Mona Pratap Menon provided supporting signatures on April 8, 2026, demonstrating proper corporate governance protocols in regulatory compliance matters.

The company has designated BSE Limited as the stock exchange where any potential fines would be paid in case of future shortfall in mandatory borrowing requirements, should its status change in subsequent financial years.

Gratex Industries Limited has officially communicated to BSE Limited regarding the non-applicability of the Annual Secretarial Compliance Report for the financial year ended 31st March, 2026. The announcement was made through a formal letter dated 8th April, 2026, signed by Managing Director Karan Baldevkrishan Sharma.

Regulatory Exemption Details

The company has informed that the Annual Secretarial Compliance Report as specified under Regulation 24A of the Securities and Exchange Board of India (Listing Obligations and Disclosure Requirements) (Amendment) Regulations, 2018 is not applicable to the company. This exemption is based on the company's previous claim under Regulation 15(2) of the SEBI (LODR) Regulations, 2015.

BSE Circular Compliance

The communication references BSE Circular LIST/COMP/10/2019-20 dated 9th May, 2019, and clarification circular LIST/COMP/12/2019-20 dated 14th May, 2019. According to these circulars, companies that have claimed exemption under Regulation 15(2) and submitted Non-Applicability Certificate for Corporate Governance Report are not required to submit additional documents or disclosures for claiming exemption from the Annual Secretarial Compliance Certificate.

Corporate Governance Status

Gratex Industries Limited has previously submitted a Non-Applicability Certificate for Corporate Governance Report under the exemption provisions. This existing exemption status automatically extends to the Annual Secretarial Compliance Report requirement, eliminating the need for separate documentation or disclosure submissions for FY26.

The company has requested BSE to take this communication on record, ensuring compliance with all applicable regulatory disclosure requirements while maintaining its exempted status under the relevant SEBI regulations.