Bgil Films & Technologies Limited has officially withdrawn its application for BSE's in-principle approval regarding a significant convertible equity warrants issue worth ₹79.12 crores. The Board of Directors made this decision on December 15, following prolonged approval delays that led to investor withdrawals.

Original Warrant Issue Details

The company's initial proposal involved issuing convertible equity warrants to non-promoter investors under a preferential basis arrangement. The key parameters of the withdrawn application were:

Timeline of Events

The warrant issue proposal followed a structured approval process before its eventual withdrawal:

• September 5: Board of Directors approved the convertible equity warrants issuance
• September 11: Application filed with BSE Limited seeking in-principle approval
• September 30: Shareholders approved the proposal at the 36th Annual General Meeting
• December 15: Board approved withdrawal of the application

Reasons for Withdrawal

The company cited specific challenges that led to the application withdrawal. Following the initial filing, BSE raised multiple queries to which the company provided timely and complete responses. However, the prolonged pendency of the in-principle approval process created significant complications.

Due to extended delays, several proposed investors expressed their inability to wait further and withdrew their investment commitments. This development left the company unable to proceed with the preferential issue in its existing form, necessitating the formal withdrawal.

Future Fund-Raising Plans

Bgil Films & Technologies has indicated its intention to explore alternative fund-raising mechanisms. The company stated it is currently evaluating various options and may approach the exchange again once new investor commitments are finalized. This suggests the company's capital requirements remain unchanged despite the current setback.

Regulatory Compliance

The withdrawal notification was made in compliance with Regulation 30 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015. The company has submitted a formal withdrawal letter to BSE Limited regarding the discontinued application, ensuring proper regulatory adherence throughout the process.

BGIL Films & Technologies Limited has reported a widening net loss for the half-year ended September 30, 2025, according to the company's latest financial results. The film and technology firm's performance shows mixed signals with increased revenue but higher losses compared to the previous year.

Financial Highlights

BGIL Films & Technologies has seen a significant increase in its revenue from operations, which more than doubled to Rs 26.75 lakh from Rs 13.26 lakh in the same period last year. However, this growth in revenue was overshadowed by a rise in total expenses, leading to an increased net loss.

Operational Challenges

The company's financial position is further complicated by several issues highlighted in the auditor's report:

1. Irregular payment of statutory dues
2. Unfiled TDS returns for the current and previous financial years
3. Unconfirmed debtor and creditor balances, which may impact net profits
4. An unrecognized joint venture from a previous year, potentially affecting revenue recognition

Regulatory Compliance

BGIL Films & Technologies has partially paid a penalty of Rs 5 lakh imposed by SEBI (Securities and Exchange Board of India) from a 2019 adjudication order. The company stated that all BSE SOP (Standard Operating Procedure) fines have been paid, with no outstanding amounts remaining.

Corporate Actions

The Board of Directors approved these unaudited financial results at their meeting held on November 12, 2025. The company is also in the process of issuing preferential shares or warrants, which could potentially impact its capital structure in the future.

Market Outlook

While BGIL Films & Technologies has shown strong revenue growth, the increased losses and operational challenges present significant hurdles. The company's ability to address the auditor's concerns, improve its financial position, and capitalize on its revenue growth will be crucial for its future performance in the competitive film and technology sector.

Investors and stakeholders will likely keep a close watch on how the company manages its expenses, resolves regulatory issues, and leverages its revenue growth to achieve profitability in the coming quarters.