NHC Foods Limited has approved an investment of USD 24,295,000 in its wholly owned subsidiary, NHC FOODS UK LIMITED. The Board of Directors sanctioned this investment on June 1, 2026, utilizing the proceeds from the Foreign Currency Convertible Bonds (FCCBs) issued earlier. The company will receive 18,043,000 new ordinary shares of £1.00 each in the UK entity as consideration for this investment.

Investment and Utilization of Proceeds

The investment amount, equivalent to £18,043,000 at an applied exchange rate of 0.7426631 GBP per USD, forms part of the utilization of proceeds from the FCCB issue. The offering circular for the FCCBs was approved on May 27, 2026, and the allotment was finalized on May 29, 2026. The total FCCB issue size was capped at USD 27 million, approximately INR 258 crore. The investment in the UK subsidiary is a strategic move to expand the company's international footprint.

Target Entity Details

NHC FOODS UK LIMITED, incorporated on April 20, 2026, under the Companies Act 2006, is a private company limited by shares. It is registered with the Registrar of Companies for England and Wales and operates in the same line of business as NHC Foods Limited. The subsidiary currently has a paid-up share capital of 1,000 ordinary shares of GBP 1 each and is yet to commence business operations.

Regulatory and procedural compliance

The investment is being undertaken under the Automatic Route as per the Foreign Exchange Management Act, 1999, and does not require specific governmental approvals at this stage. The company expects to complete the necessary procedures for Overseas Direct Investment within approximately 10 to 15 days. The intimation regarding this investment was submitted to the stock exchanges under Regulation 30 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015.

NHC Foods Limited has announced its audited financial results for the year ended March 31, 2026. The company reported a 72.8% rise in Revenue from Operations to Rs 601.30 crore for FY26, compared to Rs 347.88 crore in the previous year. Consolidated Net Profit for the year stood at Rs 12.32 crore, a growth of 73.9% from Rs 7.08 crore in FY25.

Financial Performance

For the quarter ended March 31, 2026, Revenue from Operations rose 92% year-on-year to Rs 258.4 crore, up from Rs 134.53 crore in Q4 FY25. Net Profit for the quarter was reported at Rs 6.65 crore, a significant increase from Rs 89.68 lakh in the corresponding period of the previous year.

On a standalone basis, the company reported a net profit of Rs 609.74 lakh for the year ended March 31, 2026, a decrease from Rs 669.42 lakh in the previous year. Revenue from operations for the year stood at Rs 44,262.34 lakh, compared to Rs 34,141.34 lakh in the prior year.

The table below summarises the key financial metrics for the standalone entity:

Strategic Developments

The Board of Directors has approved a fund-raising plan of up to USD 27 million, approximately Rs 225 crore, through equity or equity-linked instruments. The funds, to be raised in one or more tranches, will support expansion plans, capacity enhancement, and global distribution initiatives. The company may utilize instruments such as equity shares, convertible bonds, FCCBs, or warrants via routes including preferential allotment, QIP, or private placement.

Additionally, NHC International L.L.C-FZ, a Dubai-based subsidiary, acquired 100% of the paid-up share capital of Conquer Enterprises Limited, a Hong Kong-based trading company, on March 11, 2026.

Board Decisions

The Board of Directors approved the 'Policy on Material Subsidiary' and re-appointed M/s. DMS & Company, Chartered Accountants, as internal auditors for FY 2026-27. The statutory auditors, M/s. JMMK & Co., issued an audit report with an unmodified opinion on both the standalone and consolidated financial results.