Midwest Energy Limited has initiated a postal ballot process to seek shareholder approval for a 10:1 sub-division of its equity shares, aiming to enhance liquidity by reducing the face value from ₹10 to ₹1 per share. The vote, which carries direct consequences for shareholders regarding voting eligibility and potential future trading dynamics, also seeks approval for the appointment of two new directors and the sanctioning of professional consultancy fees to a related party. The remote e-voting facility will be available from August 10, 2026, at 9:00 A.M. (IST) until September 08, 2026, at 5:00 P.M. (IST), with eligibility determined by holdings as on the cut-off date of July 31, 2026.

The proposal is governed by Section 110 of the Companies Act, 2013, Rule 20 and 22 of the Companies (Management and Administration) Rules, 2014, and Regulation 44 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015. CS Srikant Kumar P, Practicing Company Secretary, has been appointed as the scrutinizer to ensure a fair and transparent e-voting process facilitated by Bigshare Services Private Limited. Shareholders holding shares as on the cut-off date are required to cast their votes electronically; physical ballot forms are not being issued in compliance with regulatory mandates for remote e-voting.

Key Resolutions Under Consideration

The postal ballot notice outlines four primary matters for shareholder consideration:

The share split will not alter the aggregate amount of authorized, issued, subscribed, or paid-up capital nor change the percentage shareholding of any member. Sub-divided shares held in dematerialized form will be credited proportionately to beneficiary accounts, while physical share certificates will be deemed cancelled on the record date fixed by the Board.

Related Party Transaction and Director Appointments

Shareholders are also asked to approve a special resolution for paying professional consultancy fees to Mr. Deepak Kukreti, a related party identified as the spouse of Director Mrs. Soumya Kukreti. The fees are capped at ₹12,50,000 per month plus applicable GST. The Audit Committee recommended this transaction, citing Mr. Kukreti’s expertise in renewable energy, wind energy, and business strategy, which aligns with the company’s expanded operations following the amalgamation with Midwest Energy Private Limited. The maximum annual value of this transaction represents approximately 21.78% of the company’s audited consolidated turnover of ₹688.87 lakh for FY26.

Additionally, the Board seeks approval for the appointment of Mrs. Kollareddy Ranganayakamma as a Non-Executive Director liable to retire by rotation, and Mr. Dinabandhu Mohapatra as an Independent Director for a five-year term ending July 27, 2031. Mrs. Ranganayakamma brings expertise in corporate governance and regulatory compliance, while Mr. Mohapatra, a former MD & CEO of Bank of India, offers extensive banking experience. Both appointments were recommended by the Nomination and Remuneration Committee.

Midwest Gold (now operating as Midwest Energy Limited) has executed a comprehensive leadership overhaul, with four directors and its chief financial officer stepping down simultaneously. The changes, approved by the Board of Directors on July 28, 2026, mark a significant shift in the company’s governance structure and senior management team. Shareholders must now vote on a related-party consultancy agreement involving one of the departing executives, which could impact ongoing renewable energy initiatives.

The Board noted the resignations of Mr. Deepak Kukreti (Whole-time Director), Mr. Kothamasu Sri Surya Pratap (Non-Executive Independent Director), Mrs. Rajyalakshmi Ankireddy (Non-Executive-Non Independent Director), and Mr. Sasikanth Rao (Non-Executive Director). All four directors cited personal reasons and other professional commitments for their departure, effective July 28, 2026. Concurrently, Mr. Palepu Ramakrishna Venkatachala resigned from the office of Chief Financial Officer, effective July 29, 2026, also citing personal reasons.

To fill these vacancies, the Board appointed Mr. Dinabandhu Mohapatra as an Additional Director (Non-Executive, Independent Director) for a first term of five consecutive years, effective July 28, 2026. Mr. Mohapatra, a former Managing Director & CEO of Bank of India, brings over three decades of banking experience. Mrs. Kollareddy Ranganayakamma was appointed as an Additional Director (Non-Executive Director) effective July 28, 2026. She is the mother of Mrs. Soumya Kukreti, a Director and Promoter of the Company. Both appointments are subject to shareholder approval.

Ms. Rama Devi Dasari was appointed as the new Chief Financial Officer, effective July 29, 2026. A qualified Chartered Accountant with an LL.B. degree and an IIM Ahmedabad certification, Ms. Dasari brings nearly 20 years of experience, including roles at Satyam Computer Services Ltd., UltraTech Cement Ltd., and Broadridge Financial Solutions.

Leadership Changes Summary

Related-Party Consultancy Approval

The Board also approved a related-party transaction involving Mr. Deepak Kukreti, who is the spouse of Director and Promoter Mrs. Soumya Kukreti. The company will engage Mr. Kukreti to provide professional consultancy services related to renewable energy, wind energy, clean energy, and allied business initiatives. The consultancy fees will not exceed ₹12,50,000 per month plus applicable Goods and Services Tax (GST). This transaction requires shareholder approval via a Special Resolution through Postal Ballot. The scope of services, tenure, and payment terms will be finalized by the Board and/or the Audit Committee.

Governance Implications

The simultaneous resignation of multiple board members, including two independent directors and the whole-time director, alongside the CFO, suggests a strategic realignment within Midwest Energy Limited. The appointment of Dinabandhu Mohapatra, a seasoned banker, signals a potential focus on financial discipline and corporate governance. Meanwhile, the retention of Deepak Kukreti in a consultancy role highlights the company’s continued reliance on his expertise for its renewable energy transition, despite his exit from the executive board. Shareholders will play a critical role in validating these structural changes through the upcoming postal ballot.