MRC Agrotech Ltd has scheduled a board meeting on June 22, 2026, to consider a proposal to take approximately 50 acres of land on a long-term lease for its business and operational requirements. The meeting will also address the conversion of loans and advances aggregating approximately ₹3.88 crore into equity investment in its 51% owned subsidiary, based on valuation reports from IBBI Registered Valuers.

The board will discuss the recognition and capitalization of eligible completed Work-in-Progress that can be converted into appropriate Fixed Asset categories in accordance with applicable accounting standards. This move aims to align the company's financial reporting with statutory requirements.

The proposal to convert the substantial loan amount into equity marks a significant shift in the capital structure of the subsidiary. The valuation reports obtained from IBBI Registered Valuers will play a crucial role in determining the terms of this conversion.

Agenda Items

The meeting, convened pursuant to the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, will cover the following key matters:

Any other matter with the permission of the Chair may also be taken up during the meeting. The intimation was submitted by Rahul Mathur, Company Secretary & Compliance Officer of MRC Agrotech Ltd .

MRC Agrotech Ltd reported a standalone net profit of ₹116.35 lakh for the year ended March 31, 2026, on revenue from operations of ₹8,596.81 lakh. The company’s board approved the audited standalone and consolidated financial results for the quarter and year ended March 31, 2026, at a meeting held on June 6, 2026. Choudhary Choudhary & Co., Chartered Accountants, issued an unmodified opinion on the financial statements.

The auditors identified key audit matters related to back-to-back trading transactions, a concentration of taxable supplies in March 2026, and the classification of exempt sales in GST returns. A significant portion of the company’s taxable outward supplies, aggregating to approximately ₹38.10 crore, was recognized during March 2026. Additionally, substantial trading transactions were undertaken with two counterparties related to each other, accounting for approximately 53% of purchases and 23% of sales during the year.

The audit report emphasized an investment of ₹16.85 crore in Marsapi Lifesciences Private Limited, a wholly-owned subsidiary acquired via a share-swap agreement. The company issued up to 86,42,097 equity shares at ₹19.50 per share for the acquisition. The auditors also highlighted an agreement with Cicago Commodities Private Limited for the assignment of loans totaling ₹7,30,00,978 on a non-recourse basis.

On a consolidated basis, the company reported a net profit of ₹131.69 lakh for the year ended March 31, 2026, on revenue from operations of ₹9,039 lakh. The auditors noted that the company’s books of account record exempt sales of ₹81.14 crore; however, the GSTR-3B returns filed for FY 2025-26 do not separately report the exempt supply. The auditors advised the company to correct the classification in future GSTR-3B filings.