Siyaram Silk Mills Limited has fixed August 22, 2026, as the record date to determine eligible shareholders for its bonus preference share issue, following the National Company Law Tribunal (NCLT) Mumbai bench’s sanction of the Scheme of Arrangement on July 21, 2026. The scheme, which became effective on July 30, 2026, allows the company to distribute surplus reserves through a bonus issue of preference shares, rewarding shareholders while preserving cash liquidity for operational needs and future growth.

The disclosure was made under Regulation 30 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015. The NCLT order confirmed that the scheme is fair, reasonable, and not contrary to public policy, having received unanimous support from the Board of Directors and requisite majorities from equity shareholders and unsecured creditors. No objections were raised by the Regional Director or other stakeholders during the hearing, and previous observation letters from BSE Limited and the National Stock Exchange of India Limited were addressed during the proceedings.

Bonus Issue Structure

Under the sanctioned scheme, Siyaram Silk Mills will issue preference shares by way of bonus utilizing its general reserves. Both series carry a dividend rate of 9% per annum and are cumulative, non-convertible, and redeemable. There is no lock-in period, and the shares will be listed on stock exchanges where the company’s equity shares are traded.

Series I shares are redeemable at par at the end of year 3 or earlier at the Board’s option. Series II shares are redeemable at the end of year 5 or earlier at the Board’s option. Shareholders holding physical certificates who do not provide demat account details before the Record Date will have their corresponding preference shares held in trust by a nominee trustee until demat details are provided.

What the Numbers Show

The rationale behind the scheme highlights that Siyaram Silk Mills has accumulated substantial surplus reserves well above its current and likely future business needs. By converting these reserves into listed preference shares, the company aims to enhance corporate governance and transparency. Notably, the tribunal noted that even after this issuance, the company will retain sufficient cash resources to discharge liabilities towards lenders and stakeholders in the ordinary course of business, indicating a strong underlying liquidity position despite the capital restructuring.

Siyaram Silk Mills Limited shareholders approved a final dividend of ₹5 per share (250%) for FY26 during its 48th Annual General Meeting (AGM) held on August 1, 2026. The meeting also saw the reappointment of Pawan D. Poddar as a director, reflecting strong shareholder confidence in the company’s leadership and capital distribution strategy. This outcome ensures continued stability in management while rewarding investors with a substantial payout.

The AGM was conducted via Video Conferencing (VC) and Other Audio Visual Means (OAVM), complying with Ministry of Corporate Affairs (MCA) directives and Securities and Exchange Board of India (SEBI) regulations under Regulation 30 and Regulation 44(3) of the Listing Obligations and Disclosures Requirements Regulations, 2015. Ramesh Poddar, Chairman and Managing Director, chaired the session, while Gaurav Poddar, President and Executive Director, addressed shareholder queries. Prasen Naithani of P. Naithani & Associates served as the independent scrutinizer for the e-voting process.

Key Resolutions Passed

Shareholders voted on four ordinary resolutions, all passing with requisite majority. Voting occurred via remote e-voting from July 29 to July 31, 2026, and through InstaPoll during the AGM. The record date for voting eligibility was July 25, 2026.

Pawan D. Poddar (DIN: 00090521), who retired by rotation, offered himself for reappointment. His proposal received near-unanimous support, with only 157 votes cast against out of over 31.5 million votes polled.

Auditor and Compliance Details

The company ratified the remuneration of ₹6,00,000 payable to M/s. K. G. Goyal & Associates, Cost Accountants (FRN 000024), as Cost Auditors for FY27. This resolution passed with 99.9985% support. The Statutory Auditors’ Report and Secretarial Auditors’ Report contained no adverse remarks. National Securities Depository Limited (NSDL) facilitated the e-voting platform.

What the Numbers Show

High participation in remote e-voting underscores robust engagement with corporate governance. Promoter group shareholders held 30,598,404 shares and voted in favor of all resolutions with 100% support. Institutional investors also showed unanimous backing for key agenda items, while non-institutional public shareholders contributed to the overall consensus with minimal dissent. The final dividend payment is scheduled for on or after August 7, 2026, within the statutory time limit.