Nila Spaces promoter Kiran B Vadodaria disposed of 737,197 equity shares of the company through open market sales executed on August 17 and 18, 2026. The transaction represents a reduction in his stake from 7.85% to 7.66% of the total paid-up equity share capital.

The disclosure was submitted to the Bombay Stock Exchange and the National Stock Exchange on August 19, 2026, pursuant to Regulation 29(2) of the SEBI (Substantial Acquisition of Shares and Takeovers) Regulations, 2011, and Regulation 7(2)(a) of the SEBI (Prohibition of Insider Trading) Regulations, 2015.

Shareholding Details

Prior to the sale, Vadodaria held 30,917,262 shares carrying voting rights, constituting 7.85% of the company’s total diluted share/voting capital. None of these shares were encumbered by pledge, lien, or non-disposal undertakings.

Following the disposal, his holding stands at 30,180,065 shares, representing 7.66% of the total paid-up equity share capital. The company’s total equity share capital remains unchanged at ₹393,889,200, divided into 393,889,200 equity shares of ₹1 each.

The seller resides at Sambhaav House, Bodakdev, Ahmedabad. No warrants, convertible securities, or other instruments entitling the acquirer to receive shares carrying voting rights were involved in the transaction.

Nila Spaces Limited will place all resolutions from its recently concluded Postal Ballot process before shareholders for fresh consideration and approval at the company’s ensuing Annual General Meeting. The Board of Directors made this decision on August 12, 2026, citing the need to safeguard voting rights and ensure wider participation after several shareholders reported technical difficulties accessing the remote e-voting facility, including issues with OTP receipts and abrupt logouts.

The move follows concerns regarding the procedural handling of these technical glitches. While physical ballot forms were not part of the original voting mechanism communicated to all eligible shareholders, the Company facilitated this alternative method only for those who approached it citing access issues. This action was recorded in the Independent Scrutinizer’s Report dated August 06, 2026. However, subsequent representations questioned the validity of this workaround, noting that the physical ballot option was not mentioned in the initial Postal Ballot Notice. The Board acknowledged that ensuring equal and uniform opportunity for all eligible shareholders warranted additional caution, leading to the decision to restart the approval process.

As a prudent governance measure, Nila Spaces has imposed specific restrictions until fresh shareholder approval is obtained. The Company stated it will not enter into any new material Related Party Transactions or any material modifications thereto that require prior shareholder approval under Regulation 23 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015. Additionally, Mr. Deep Vadodaria, Managing Director, shall not be paid or entitled to receive any remuneration in his capacity as such pursuant to the aforesaid resolution until the fresh approvals are secured.

The Board clarified that this decision is taken in the larger interest of shareholders to enhance transparency and participation. It emphasized that the action should not be construed as an admission or determination regarding the validity of the earlier voting process or the Report of the Independent Scrutinizer. The disclosure was made pursuant to Regulation 30 of the SEBI LODR Regulations, 2015, following a Board meeting held on August 12, 2026, which commenced at 11:00 a.m. and concluded at 11:40 a.m.

Key Governance Implications

The decision highlights the Company's commitment to maintaining high standards of corporate governance and protecting shareholder rights. By opting for a fresh vote, Nila Spaces aims to resolve ambiguities surrounding the voting mechanism used during the recent Postal Ballot. The restrictions on Related Party Transactions and executive remuneration serve as interim safeguards, ensuring that no material actions are taken based on resolutions whose approval process faced procedural challenges.

What the Numbers Show

While the filing does not contain financial metrics, the procedural timeline reveals a swift response to shareholder feedback. The gap between the Independent Scrutinizer’s Report (August 06, 2026) and the Board’s decision to reset the process (August 12, 2026) indicates a seven-day review period. This rapid turnaround suggests the Board prioritized addressing governance concerns immediately rather than waiting for further escalation. The explicit mention of Regulation 23 restrictions underscores the potential materiality of the pending resolutions, likely involving significant corporate actions or related party dealings that require clear, uncontested shareholder mandate.