A Sole Arbitrator has dismissed an interim application filed by UFO Moviez India Limited in its ongoing dispute with TSR Films Private Limited. The order, dated September 17, 2026, withdraws the earlier status quo arrangement, effectively terminating the advertisement agreement between the two entities.

The proceedings stem from an Advertisement Agreement dated December 23, 2023, concerning in-cinema advertising rights on TSR screens. TSR Films terminated the agreement via a notice dated September 23, 2025, while arbitration was pending. UFO Moviez had sought continuation of the contract under Section 17 of the Arbitration and Conciliation Act, 1996.

Procedural History

An interim status quo was granted by the Sole Arbitrator on October 1, 2025, and remained in effect for ten months. TSR Films challenged this continuation on July 29, 2026. The subsequent order dismissed UFO Moviez's interim application on technical grounds. No costs, damages, or monetary liabilities were imposed on the company.

Impact on Operations

The company stated that the terminated arrangement was generating negative returns on a net level. This loss was primarily attributed to execution issues at TSR Films' end, which led to sub-optimal exploitation of advertisement rights. Deductions made by UFO Moviez due to these execution issues form part of the subject matter of the current arbitration.

What the Numbers Show

The dismissal of the interim application removes a contractual arrangement that was already operating at a net loss for UFO Moviez. Since the agreement was generating negative returns due to execution failures by the counterparty, its termination eliminates ongoing operational drag rather than cutting off profitable revenue streams. The core financial claims and counterclaims remain pending adjudication.

Legal Standing

The arbitrator clarified that the order is confined to the interim application and does not adjudicate the merits of the main case. The claim petition, defense, and counterclaim filed by both parties remain pending before the Sole Arbitrator. UFO Moviez indicated that it is evaluating the order with legal advisers and will take appropriate steps to protect its interests.

The disclosure was made pursuant to Regulation 30 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015. The intimation was received by the company through its advocates on September 17, 2026, at 1:49 pm.

UFO Moviez shareholders approved all four resolutions at its 22nd Annual General Meeting held on August 19, 2026. The meeting, conducted via video conference, saw voting participation from nearly half of the outstanding shares.

The company secured overwhelming support for the reappointment of Mr. Gautam Trivedi and Mr. Anand Trivedi as directors. Additionally, shareholders passed a special resolution to reappoint Mr. Sanjay Gaikwad as Managing Director.

Voting Participation and Results

A total of 19,272,512 votes were polled out of 38,824,757 shares held on the record date of August 12, 2026, representing a participation rate of 49.64%. Promoter group shareholders cast votes on all their holdings, while public institutional investors participated at a rate of 97.34%.

All resolutions were passed with the requisite majority as per the Companies Act, 2013 and SEBI Listing Regulations.

Director Reappointments

Mr. Gautam Trivedi and Mr. Anand Trivedi retire by rotation and offered themselves for reappointment. Both received near-unanimous support from public non-institutional shareholders, with dissenting votes comprising less than 0.05% of the total polled for each resolution.

Mr. Sanjay Gaikwad’s reappointment as Managing Director was approved via a special resolution. The move received 99.99% support from total votes polled, indicating strong shareholder confidence in the current management structure.

Scrutinizer’s Report

Vicky M. Kundaliya of V. M. Kundaliya & Associates served as the scrutinizer for the meeting. The consolidated report confirmed that remote e-voting was conducted through NSDL between August 14 and August 18, 2026. No invalid votes were recorded across any of the resolutions.