Iykot Hitech Toolroom Ltd’s Board of Directors approved the sale of company assets and secured a working capital loan from its promoter on August 6, 2026, to fund a strategic shift into the bullion and jewellery sector. The restructuring aims to realign resources toward trading and retailing gold, silver, precious stones, and diamonds. The asset sale, which requires shareholder approval, is expected to generate proceeds for general corporate purposes and the development of these new business lines. This pivot marks a significant departure from the company’s existing toolroom operations.

The Board meeting, held in Chennai, also approved a loan from Aspect Global Ventures Private Limited, a promoter entity, to meet immediate working capital requirements. Sukumar Anand Shetty, Additional Director, signed off on the disclosures pursuant to Regulation 30 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015. The Board also altered the notice and explanatory statement for the upcoming Annual General Meeting to reflect these changes.

Asset Sale Details

The proposed asset sale involves equipment whose book value is under final determination as per audited accounts for March 31, 2026. While the assets were used in conjunction with other operational units, management estimates their attributable revenue at approximately ₹30.00 Lakhs. The transaction is not classified as a slump sale and does not involve any related parties or promoter group entities. The buyer will pay market value, and completion is contingent upon mutual agreement and shareholder approval.

Strategic Rationale

Management stated that the sale facilitates efficient capital deployment toward high-growth avenues in the precious metals and jewellery market. Proceeds from the disposal will be utilized for working capital, investment in the proposed new business activities, and other general corporate purposes, subject to regulatory approvals. The transaction falls outside any Scheme of Arrangement but complies with Regulation 37A of the SEBI (LODR) Regulations, 2015.

Committee Restructuring

Concurrently, the Board reconstituted its Nomination and Remuneration Committee. Sukumar Anand Shetty was appointed as a Member, replacing Ms. Vaishali Sharad Lad, effective August 6, 2026. Rajesh Chunilal Bhojani continues as Chairperson, with Vaibhav Agarwal serving as a Member. All three directors are non-executive, with Bhojani and Agarwal holding independent status.

What the Numbers Show

The estimated revenue contribution of ₹30.00 Lakhs from the assets being sold suggests these are peripheral or legacy assets rather than core revenue drivers. By divesting these specific items while securing promoter funding, Iykot Hitech Toolroom Ltd is signaling a complete business model transformation rather than a simple portfolio optimization. The reliance on a related-party loan indicates that internal cash flows may be insufficient to bridge the transition period into the capital-intensive bullion trading sector.

Iykot Hitech Toolroom Limited accepted the resignation of Velli Paramasivam from the position of Independent Director, effective June 30, 2026. The resignation, submitted due to personal reasons, was communicated to the stock exchange pursuant to Regulation 30 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015. Consequently, Paramasivam has ceased to serve as Chairman or Member of the Board committees in which he was previously involved.

The Board of Directors acknowledged the departure, placing on record its appreciation for the contributions made by Paramasivam during his tenure. The company confirmed that it has received a statement from the resigning director affirming that there are no material reasons for his departure beyond those cited in his resignation letter dated June 30, 2026.

The disclosure details regarding the resignation were submitted in compliance with SEBI Circular CIR/CFD/CMD/4/2015 dated September 9, 2015. The intimation was filed by Sukumar Anand Shetty, Additional Director of Iykot Hitech Toolroom Limited.

Details of Resignation