Himalaya Food International Limited has scheduled a board meeting for April 7, 2026, to address multiple strategic corporate decisions. The meeting, to be conducted through video conferencing, will consider significant changes to the company's capital structure and financial arrangements.

Authorized Share Capital Enhancement

The board will deliberate on increasing the company's authorized share capital substantially. The proposal involves raising the capital ceiling from the existing ₹90,00,00,000 to ₹150,00,00,000, representing a potential increase of ₹60,00,00,000. This enhancement will be implemented in one or more tranches as required, subject to shareholder approval.

Auditor Appointment and Banking Settlements

The board will consider appointing M/s Kumar Rupak & Associates as the company's statutory auditor, subject to applicable regulatory approvals. Additionally, the meeting will address significant banking arrangements, including taking note of final sanctions received from all four consortium banks on March 29, 2026, for concluding a One Time Settlement worth ₹43 Crores.

The board will also ratify the release of ₹21.50 Crores to consortium banks on March 30, 2026, pursuant to sanction letters received from the banks. This represents approximately 50.00% of the total OTS amount.

Fund Raising Provisions

A key agenda item involves enabling provisions for raising funds through multiple mechanisms:

• Loan Conversion: Converting outstanding loans as on March 31, 2026, and any further loans into equity shares up to ₹25 Crores, at the option of promoters and lenders
• Equity Issuance: Issuing equity shares or other eligible securities to promoters and eligible investors, including strategic investors
• Multiple Modes: Utilizing permissible methods such as rights issue, preferential issue, or other regulatory-compliant approaches

Extra-Ordinary General Meeting Preparations

The board will consider convening an Extra-Ordinary General Meeting of company members to seek shareholder approvals for the proposed resolutions. The meeting will also approve the draft notice for calling the EGM and appoint a scrutinizer for the proceedings.

All matters will be considered in accordance with applicable provisions of the Companies Act, 2013, and SEBI regulations. The company has formally notified BSE Limited about the scheduled board meeting as per Regulation 29 of SEBI (LODR) Regulations, 2015.

Himalaya Food International Ltd. has announced a significant breakthrough in its financial restructuring with the approval of an extension for its One Time Settlement (OTS) from a consortium of lenders led by State Bank of India. The development marks a crucial milestone in the company's debt resolution process and provides a clear pathway for financial recovery, with strong recovery indicators emerging in stressed assets.

OTS Extension Details

The lender consortium has approved the extension of the OTS timeline till September 2026, providing the company with additional time to complete its debt settlement obligations. This extension represents a structured approach to debt resolution with defined milestones and achievable targets.

Financial Progress and Recovery Indicators

The company has demonstrated strong execution credibility by already depositing ₹21.50 crore, representing 50% of the final settlement amount. With cumulative payments of ₹77.00 crores till date, Himalaya Food International has shown consistent commitment to honoring its obligations despite facing operational challenges. The company's stressed assets are showing strong recovery signs, indicating improved operational performance.

The company encountered significant setbacks including non-return of critical machinery by a joint venture partner despite a binding international arbitration award in March 2020, and force majeure impact from a fire at its Gujarat facility. Despite these challenges, the company continued servicing its obligations.

Management Perspective

Chairman & CEO Man Mohan Malik stated that this approval represents a defining moment for the company. He emphasized that the company has already demonstrated its intent and capability by paying ₹77.00 crores, including ₹21.50 crores under the revised OTS. With the extension now in place, he noted that the path to full closure is clear and fully achievable.

Strategic Implications

The OTS extension approval provides several strategic benefits for the company:

• Balance Sheet De-risking: Legacy liabilities now have a defined and executable closure path
• Banking System Endorsement: Strong reaffirmation of confidence by lenders led by State Bank of India
• Value Unlock Potential: Clears pathway for asset monetization, capital infusion, and expansion of export-driven verticals
• Asset Recovery: Strong recovery seen in stressed assets indicates improved operational efficiency

Growth Prospects

With financial clarity emerging and strong recovery indicators in stressed assets, the company is positioned to scale operations through export expansion to UK, Australia, and EU markets. The focus on high-margin value-added products is expected to improve operational leverage and margins significantly. The company remains confident of completing the balance ₹21.50 crores within the sanctioned timeline, which would result in a clean balance sheet and accelerated value creation.