AU Small Finance Bank Limited has successfully completed its postal ballot process, with shareholders approving both special resolutions through remote e-voting. The bank announced the results on March 2, 2026, following the conclusion of the voting period on February 28, 2026.

Postal Ballot Overview

The postal ballot process was conducted in accordance with regulatory requirements under Sections 108 and 110 of the Companies Act, 2013, and SEBI Listing Regulations. The bank engaged Central Depository Services (India) Limited as the service provider for remote e-voting facilities.

Resolution 1: Independent Director Appointment

The first special resolution for appointing Mr. Phani Shankar (DIN: 09663183) as an Independent Director received overwhelming support from shareholders. The resolution achieved near-unanimous approval across all shareholder categories.

Resolution 2: ESOS Amendments

The second special resolution concerning amendments to the AU Employees Stock Option Scheme 2023 also received strong shareholder approval, though with more varied voting patterns among institutional investors.

Scrutinizer's Certification

CS Manoj Maheshwari from V. M. & Associates served as the scrutinizer for the postal ballot process. The scrutinizer confirmed that both resolutions were passed with the requisite majority as per regulatory requirements. The voting process was conducted entirely through remote e-voting, with no physical postal ballot forms received.

Regulatory Compliance

The bank ensured full compliance with regulatory frameworks, including:

• Notice dispatch to 180473 shareholders via email on January 29, 2026
• Advertisement publication in Financial Express (English) and Nafa Nuksan (vernacular) newspapers on January 30, 2026
• Proper maintenance of voting records and data security protocols
• Timely submission of results to stock exchanges

The successful completion of the postal ballot demonstrates strong shareholder confidence in the bank's governance decisions and strategic initiatives. Both resolutions are deemed effective from February 28, 2026, the last date of the e-voting period.

AU Small Finance Bank is set to benefit from a substantial weight increase in the upcoming MSCI February rejig, with the official announcement made today at 3pm. The development marks a significant milestone for the financial institution's market positioning.

MSCI Rejig Details

The MSCI February rebalancing will see AU Small Finance Bank's weight increase by a notable amount, reflecting the bank's improved market standing and performance metrics.

Market Impact

The weight increase in the MSCI index represents a positive development for AU Small Finance Bank, as higher weightings typically lead to increased institutional investment flows. Index funds and ETFs that track MSCI indices will need to adjust their holdings accordingly, potentially driving demand for the bank's shares.

This rebalancing decision by MSCI reflects the bank's enhanced market capitalization and liquidity metrics, which are key factors considered during periodic index reviews. The substantial USD 172 million weight increase demonstrates the significant scale of adjustment being made to the bank's index representation.