JK Paper Limited has successfully completed its comprehensive corporate restructuring scheme and announced the allotment of 1,19,16,427 equity shares to eligible shareholders of Enviro Tech Ventures Limited (ETVL) on March 20, 2026.

Scheme Implementation and Share Allotment

The composite scheme of arrangement became effective on March 15, 2026, following the filing of the National Company Law Tribunal's sanctioning order with the Registrar of Companies. The Committee of Directors, duly authorized by the Board of Directors, approved the equity share allotment at its meeting held on March 20, 2026.

The allotted equity shares rank pari passu in all respects with the existing equity shares of the company. Applications for listing and trading approval will be submitted to BSE Limited and National Stock Exchange of India Limited in due course.

Capital Structure Enhancement

The share allotment has resulted in a significant increase in JK Paper's paid-up equity share capital:

Subsidiary Amalgamations and Demerger Operations

The restructuring scheme, sanctioned by the National Company Law Tribunal Ahmedabad Bench on February 3, 2026, involved comprehensive corporate reorganization:

The scheme also encompassed demerger operations involving ETVL, with the demerged undertaking transferred to PSV Agro Products Private Limited effective April 1, 2025. The residual business of ETVL, including its investment in The Sirpur Paper Mills Limited, was amalgamated with JK Paper Limited, making SPML a direct wholly-owned subsidiary.

Regulatory Compliance and Legal Framework

The composite scheme operates under Sections 230-232 read with Section 66 of the Companies Act, 2013, and is legally binding on all companies involved and their respective shareholders. The restructuring represents a strategic milestone in JK Paper's corporate evolution, consolidating operations and optimizing subsidiary structure for enhanced operational efficiency.

JK Paper has reported a decline in its exports to Gulf countries, according to NDTV Profit. This development highlights challenges facing the paper manufacturer in its international operations, particularly in the Middle East region.

Export Performance Challenges

The decline in Gulf exports represents a notable setback for JK Paper's overseas business operations. The Gulf region has traditionally been an important market for Indian paper manufacturers, making this development significant for the company's international revenue streams.

Market Impact

The reported decline in Gulf exports could impact JK Paper's overall export performance and international market presence. The company's ability to maintain and expand its footprint in international markets, particularly in the Middle East, appears to be facing headwinds.

This development underscores the challenges that Indian paper manufacturers face in maintaining consistent export performance across different geographical markets. The Gulf region's importance as an export destination makes this decline particularly noteworthy for stakeholders monitoring the company's international business trajectory.