Katare Spinning Mills Limited shareholders approved a major strategic pivot during their 46th Annual General Meeting held on September 26, 2026. The members passed a special resolution to alter the Main Object Clause of the Memorandum of Association, enabling the company to diversify into Battery Energy Storage Systems (BESS) and allied energy storage solutions.

The meeting, chaired by Kishore T. Katare, transacted all businesses listed in the notice dated August 21, 2026. Members exercised their voting rights through remote e-voting and ballot papers at the registered office in Solapur. The decision marks a significant expansion beyond the company's traditional textile operations into the renewable energy sector.

Strategic diversification into energy storage

The approved alteration allows the company to manufacture, design, assemble, import, export, trade, install, commission, operate, and maintain Battery Energy Storage Systems. This includes lithium-ion and other advanced chemistry battery cells, battery packs, solar energy storage systems, grid-scale storage, micro-grid solutions, UPS, and inverter systems.

The new objects clause also permits the company to act as a system integrator and EPC contractor for setting up BESS-based captive power systems and industrial micro-grids. It facilitates research and development, testing, certification, and manufacturing of components such as Battery Management Systems (BMS) and Power Conversion Systems (PCS). The company stated that this change provides flexibility to undertake activities relating to assembling, manufacturing, system integration, and trading in energy storage solutions, subject to applicable laws and regulatory approvals.

Governance and audit updates

The following ordinary resolutions were adopted by the members:

• Adoption of the audited standalone financial statements for FY26 along with the Board's and Auditors' reports.
• Re-appointment of Umakant Mahindrakar as a Director liable to retire by rotation.
• Appointment of Hiremath Patil Udgiri and Associates as Statutory Auditors.

Additionally, two special resolutions were passed:

1. Additions to the Main Objects Clause of the Memorandum of Association to include BESS activities.
2. Continuation of Kishore T. Katare as Chairman and Managing Director after attaining the age of 70 years.

Auditor appointment details

The company confirmed that M/s. Hiremath Patil Udgiri and Associates (FR No. 129856W) were appointed as Statutory Auditors. This appointment addresses a casual vacancy caused by the resignation of M/s. G M Pawle and Associates. The new auditors will hold office from the date of appointment until the conclusion of the 46th AGM.

Furthermore, the members approved the appointment of M/s. Hiremath Patil Udgiri and Associates for a term of five consecutive years, commencing from the conclusion of the 46th AGM until the conclusion of the 51st AGM in 2031. The remuneration will be determined by the Board of Directors in consultation with the Statutory Auditors.

Management continuation

The shareholders approved the continuation of Kishore T. Katare (DIN: 00645013) as Chairman and Managing Director, notwithstanding his attainment of age 70. This approval is valid for the remaining tenure of his existing appointment, which extends up to June 30, 2028. Mr. Katare has been associated with the company for over 45 years and serves as the Promoter Director.

Katare Spinning Mills has scheduled its 46th Annual General Meeting for Saturday, September 26, 2026. The meeting will address significant strategic shifts, including a proposed expansion into Battery Energy Storage Systems (BESS) and the appointment of new statutory auditors.

Meeting and Voting Schedule

The register of members and share transfer books will remain closed from September 19, 2026, to September 26, 2026, inclusive. This closure is mandated under Section 91 of the Companies Act, 2013.

Shareholders can exercise their voting rights electronically as per the following timeline:

• E-voting commencement: Wednesday, September 23, 2026, at 9:00 am
• E-voting end: Friday, September 25, 2026, at 5:00 pm
• Record date: Friday, September 18, 2026

Voting through electronic means will not be permitted after 5:00 pm on September 25, 2026. The record date for determining entitlement to e-voting is set for September 18, 2026.

Strategic Expansion into Energy Storage

A key special resolution at the AGM seeks approval to alter the Main Objects Clause of the Memorandum of Association. The company aims to diversify beyond its existing spinning mill and solar power projects by entering the battery energy storage sector.

The proposed addition allows Katare Spinning Mills to manufacture, design, assemble, import, export, trade, install, commission, operate, and maintain BESS solutions. This includes lithium-ion and other advanced chemistry battery cells, grid-scale energy storage systems, micro-grid solutions, and UPS/inverter systems. The resolution also permits the company to act as a system integrator and EPC contractor for captive power systems and hybrid energy solutions.

This move aligns with the company's existing solar power division and reflects a broader industry trend toward integrated renewable energy solutions. The Board stated this alteration will provide greater flexibility to explore new business opportunities complementary to its current operations.

Auditor Resignation and Appointment

The AGM agenda includes the appointment of M/s. Hiremath Patil Udgiri and Associates as Statutory Auditors. This follows the resignation of the previous auditors, M/s. G M Pawle and Associates, on August 12, 2026, before the completion of their five-year term which was due to end in 2027.

M/s. Hiremath Patil Udgiri and Associates has been appointed to fill the casual vacancy with effect from August 21, 2026, until the conclusion of the AGM. Shareholders are also asked to approve their appointment for a full five-year term from the conclusion of this AGM until the 51st AGM in 2031. The proposed fees include ₹50,000 for conducting three limited reviews and ₹50,000 for the statutory audit, exclusive of out-of-pocket expenses.

Management Continuity

Another special resolution seeks shareholder approval for the continuation of Mr. Kishore T. Katare as Chairman and Managing Director after attaining the age of 70 years. He is eligible to continue until June 30, 2028, on his existing terms without additional remuneration. The Board cited his extensive experience and leadership as beneficial for the company’s stability and long-term growth strategy.

Mr. Umakant Mahindrakar, who retires by rotation, also seeks re-appointment as a Director.

Financial Performance Context

The Chairman’s speech highlighted a challenging financial year. Revenue from operations stood at ₹36,303 thousand in FY26, down from ₹53,642 thousand in the previous year. The company incurred a net loss of ₹21,643 thousand in FY26, compared to a net loss of ₹17,304 thousand in FY25. Despite these losses, the management expressed optimism about future growth driven by technological investments and expansion into renewable energy storage.

Regulatory Compliance

The company stated that the e-voting facility is provided in compliance with Section 108 of the Companies Act, 2013, read with Rule 20 of the Companies (Management and Administration) Rules, 2014. It also adheres to Regulation 42(2) of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015. Central Depository Services (India) Limited (CDSL) serves as the authorized agency for remote e-voting.

Source: https://lodr-files.dhan.co/lodr-inputs/Company/INE498G01015/04b30579-546d-47d3-b0ce-56ac24e58644.pdf