Vivo Bio Tech has initiated a postal ballot process seeking shareholder approval for the re-appointment of a Whole-time Director and two related party transactions, including a potential annual engagement worth ₹30 crore with Virinchi Limited. The company has scheduled remote e-voting from June 15, 2026, to July 14, 2026, to pass resolutions on these matters, which are critical for its strategic leadership and operational continuity.

The first resolution seeks the re-appointment of Mr. Kalyan Ram Mangipudi (DIN: 02012580) as Whole-time Director. His remuneration is proposed to be a consolidated salary of up to ₹1,00,000 per month, with the Board authorized to revise the gross salary by a maximum of 50% per annum. The company stated that the remuneration will comply with the limits under Sections 197 and 198 of the Companies Act, 2013, and Schedule V thereto.

Shareholders will also vote on appointing Mrs. Madhavi Latha Kompella, a Promoter, as an Advisor for Strategy & Business Development for a term of five years from October 01, 2026, to September 30, 2031. The appointment involves a fixed fee of ₹15,00,000 per month and reimbursement of actual expenses incurred for travel and lodging. The company noted that this transaction is material, representing approximately 3.37% of the annual consolidated turnover for FY 2025-26.

The third resolution requests approval for material related party transactions with Virinchi Limited, where Vivo Bio Tech holds a 5.38% stake. The company seeks approval to enter into transactions involving the availing of software consultancy services and the transfer of resources or inter-corporate loans. The aggregate value of these transactions shall not exceed ₹30,00,00,000 during a financial year. Inter-corporate loans, if any, will carry an interest rate of approximately 9% per annum and be repayable within 12 months.

The Board of Directors has appointed Mr. G. Vinay Babu, Practicing Company Secretary, as the Scrutinizer to ensure the voting process is conducted fairly. The results of the postal ballot will be declared on or before Thursday, July 16, 2026. The cut-off date for determining shareholder eligibility to vote is Friday, June 05, 2026.

The notice was dispatched to members on June 12, 2026. Shareholders can cast their votes electronically through the CDSL e-voting system during the designated window.

Vivo Bio Tech Limited reported a consolidated net loss of ₹170.88 lakh for the financial year ended March 31, 2026, compared to a net profit of ₹728.26 lakh in the previous year. The company's board, meeting on May 30, 2026, approved the audited standalone and consolidated financial results for the fourth quarter and fiscal year. Revenue from operations for the year rose to ₹5,377.55 lakh from ₹4,667.25 lakh in FY25. The company subsequently published these audited financial results in newspapers on June 02, 2026, in compliance with Regulation 30 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015.

Financial Performance

For the quarter ended March 31, 2026, the company reported a consolidated net loss of ₹516.27 lakh. On a standalone basis, the net loss for the quarter was ₹543.69 lakh. Total income for the consolidated year stood at ₹5,377.55 lakh, while standalone total income was ₹5,300.93 lakh. The results were reviewed by the Audit Committee and approved by the Board.

Key Board Decisions

Besides the financial results, the board approved the re-appointment of Mr. Kalyan Ram Mangipudi (DIN: 02012580) as Whole-time Director. The board also considered material related party transactions, subject to shareholder approval via postal ballot. Additionally, the board appointed a consultant to advise on the proposed scheme of arrangement or amalgamation, including preparation and compliance related to the transaction.

Auditor's Observations

The statutory auditors, P. Murali & Co., issued an unmodified opinion on the financial results. However, they drew attention to the fact that the company has not been regular in depositing certain undisputed statutory dues, including Provident Fund, Employees' State Insurance, Professional Tax, Tax Deducted at Source (TDS), and Income Tax. These outstanding dues amount to approximately ₹419.29 lakh as of March 31, 2026. The auditors noted that the outcome of any proceedings or penalties for these delays is uncertain.

Operational Details

The company operates in a single segment, Bio Technology. During FY26, it allotted 50,25,812 equity shares pursuant to the conversion of warrants issued on a preferential basis. The paid-up equity share capital as of March 31, 2026, stood at ₹2,219.06 lakh. The consolidated cash and cash equivalents increased to ₹143.55 lakh from ₹128.06 lakh in the previous year.