Seshasayee Paper & Boards Limited has issued a postal ballot notice seeking shareholder approval for the appointment of R.J. Ramesh as a Non-Executive and Nominee Director, not liable to retire by rotation. The nomination is made by The Tamilnadu Industrial Investment Corporation Limited (TIIC), a Government of Tamil Nadu undertaking and the company’s single largest shareholder holding 14.27% of the equity share capital. This appointment replaces Sri Kumar Jayant, IAS, ensuring continued state government representation on the board. Shareholders must vote via remote e-voting between August 5 and September 3, 2026, to ratify the position under Section 152 and Section 161 of the Companies Act, 2013.

The Board of Directors approved Ramesh’s initial appointment as an Additional Director effective July 25, 2026. Under the Companies Act, his tenure as an Additional Director lasts until the date of the next General Meeting or three months from appointment, whichever is earlier. Consequently, shareholder ratification via postal ballot is required to confirm his permanent position. The filing cites Regulation 30 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, for this disclosure. A notice proposing his candidature was received under Section 160 of the Act.

Ramesh, who serves as Deputy General Manager (IA/ISO/PP) at TIIC, holds a B.E. and an MBA. He is 58 years old, born on August 19, 1967, and holds DIN 11821767. He holds no shares in Seshasayee Paper & Boards Limited and has no other directorships. The company confirmed he is not disqualified or debarred by any SEBI order. His remuneration will consist of commission or sitting fees applicable to non-executive directors, within the limits prescribed by the Companies Act, 2013. No other directors or key managerial personnel have a conflict of interest beyond their general shareholding.

Shareholders are advised to cast votes exclusively through remote e-voting facilitated by National Securities Depository Limited (NSDL). Physical ballot papers are not dispatched. The voting window opens on August 5, 2026, at 9:00 AM IST and closes on September 3, 2026, at 5:00 PM IST. Only members registered on the register of members or list of beneficial owners as of the cut-off date, July 31, 2026, are eligible. Results will be announced on September 4, 2026.

Key Voting Details

What This Means for Shareholders

The appointment reinforces the governance structure tied to TIIC’s significant stake. As a nominee director not liable to retire by rotation, Ramesh provides a stable channel for the state-owned investor’s oversight without being subject to rotational retirement norms. Shareholders should ensure their email addresses are registered with their Depository Participants or the Registrar and Share Transfer Agent to access the e-voting platform. Those holding physical shares are urged to dematerialize them to facilitate future transfers and corporate actions, as per SEBI mandates.

Seshasayee Paper & Boards delivered a strong start to FY27, with standalone net profit surging 97% year-on-year to ₹33.59 crore in the first quarter ended June 30, 2026. The surge was driven by a 28% increase in revenue from operations to ₹492.00 crore and significant improvements in operating efficiency, which expanded the EBITDA margin to 8.9% from 5.71% in the corresponding period last year. This performance underscores the company’s ability to leverage higher production volumes and cost management to deliver substantial bottom-line growth.

The Board of Directors approved the unaudited standalone and consolidated financial results at meetings held on July 24, 2026, and July 25, 2026. The results were reviewed by the Audit Committee and signed off by Chairman N Gopalaratnam. Statutory auditors Suri & Co issued a limited review report, confirming no material misstatements in the interim financial information prepared under Ind AS 33 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015.

Financial Performance Highlights

Operational efficiency improved markedly in Q1FY27 compared to Q1FY26. While cost of materials consumed rose to ₹315.72 crore from ₹286.10 crore, reflecting higher production volumes, other expenses increased to ₹50.50 crore from ₹34.53 crore. Despite these increases, profit before tax more than doubled to ₹45.10 crore from ₹23.06 crore in the prior year period. Consolidated net profit after tax stood at ₹31.91 crore, up from ₹15.43 crore in the prior year quarter.

The following table summarises key standalone and consolidated financial metrics for the quarter:

Earnings per share (basic) for the standalone entity rose to ₹5.58 from ₹2.83. On a consolidated basis, basic EPS increased to ₹5.30 from ₹2.56. The company's total comprehensive income for the standalone segment was ₹43.49 crore, benefiting from a net fair value gain on equity instruments through OCI of ₹11.51 crore.

Corporate Governance Update

The Board appointed Sri R.J Ramesh, Deputy General Manager (IA/ISO/PP) at Tamilnadu Industrial Investment Corporation Limited (TIIC), as an Additional Director in the capacity of a nominee director on July 25, 2026. He replaces Sri Kumar Jayant, IAS. The appointment is not liable to retire by rotation and requires shareholder approval via a postal ballot process. Sri R.J Ramesh holds a B.E. and MBA and has been nominated by TIIC, a government undertaking. Disclosure confirms he is not related to any other director on the board under Section 2(77) of the Companies Act, 2013.

Strategic Developments

The company continues efforts toward the revival and refurbishment of assets acquired from M/s Servalakshmi Paper Limited. The National Company Law Tribunal (NCLT), Chennai bench, had approved the e-auction sale of these assets in May 2023. Two of three appeals filed against this order have been dismissed as withdrawn, while the remaining appeal is reserved for orders by the NCLAT. Management stated it is taking steps to recommence operations at the facility.