Sobhagya Mercantile Limited has sought shareholder approval through a postal ballot for material related party transactions with MKS Constro-Venture Private Limited. The company proposes to enter into agreements involving the sale of goods and services worth ₹300 crore and the advancement of a loan amounting to ₹75 crore. The transactions, which are classified as material, represent 129.03% and 32.26% of the listed entity’s annual consolidated turnover for the immediately preceding financial year, respectively.

The resolutions will be decided via an ordinary resolution through a remote e-voting process. The remote e-voting period commences on June 4, 2026, at 09:00 a.m. IST and concludes on July 3, 2026, at 5:00 p.m. IST. The scrutinizer’s report and the announcement of results are expected on or before July 6, 2026.

Transaction Details

The proposed transactions are divided into two primary categories: the sale of goods and services, and the provision of loans. The company has stated that the proposed transactions will aid business growth and offer better pricing or terms compared to external parties. Shrikant Mitesh Bhangdiya, Managing Director, has been identified as a director with an interest in the transactions.

Related Party Financials

MKS Constro-Venture Private Limited, the related party involved in these transactions, reported a turnover of ₹904.54 crore and a Profit After Tax of ₹265.20 crore for the financial year 2025-26. The net worth of the entity stood at ₹3,729.38 crore for the same period. The company has confirmed there were no defaults by the related party concerning any obligations undertaken during the last financial year.

The postal ballot notice was submitted to BSE Limited on June 3, 2026, in compliance with Regulation 30 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015. The notice and explanatory statement are available on the company’s website and the NSDL e-voting portal.

Sobhagya Mercantile reported its audited standalone financial results for the quarter and year ended 31 March 2026, with a corrigendum filed on 1 June 2026 correcting specific disclosures. The company achieved a total income from operations of ₹23,250.41 lakh for FY26, while net profit after tax stood at ₹2,203.87 lakh. The results were reviewed by the Audit Committee and approved by the Board of Directors at its meeting held on 29 May 2026.

Financial Performance for FY26

For the full year ended 31 March 2026, Sobhagya Mercantile recorded a total income from operations of ₹23,250.41 lakh. Net profit for the period was ₹2,203.87 lakh, with earnings per share (EPS) of ₹10 each recorded at 30.93. The paid-up equity share capital was corrected to ₹974.85 lakh in the corrigendum. Reserves, excluding revaluation reserves, grew to ₹18,309.60 lakh as of 31 March 2026.

Q4 Performance

In the quarter ended 31 March 2026, the company reported a total income from operations of ₹8,149.51 lakh, compared to ₹5,662.81 lakh in the corresponding quarter of the previous year. Net profit after tax for Q4 FY26 was ₹567.19 lakh, down from ₹757.60 lakh in the same period last year. EPS for the quarter was 7.88.

The following table summarizes the key financial metrics for the quarter and year ended 31 March 2026:

Key Disclosures

The corrigendum addressed an inadvertent typographical error regarding the paid-up equity share capital, which should be read as ₹974.85 lakh. Additionally, the notes forming part of the financial results were updated to reflect that the company invested in optionally-convertible debentures (OCDs) rather than non-convertible debentures (NCDs). The company issued and allotted 13,48,500 convertible warrants into equity shares during the year. The audited results were filed with the stock exchanges under Regulation 33 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015.