DCW Limited (ISIN: INE500A01029) has announced a series of meetings scheduled for November 15, 2025, to consider a proposed Scheme of Amalgamation. The meetings, directed by the National Company Law Tribunal (NCLT), Ahmedabad Bench, will involve equity shareholders, secured creditors, and unsecured creditors of the company.

Proposed Amalgamation

The scheme involves the amalgamation of two entities with DCW Limited:

1. Dhrangadhara Trading Company Private Limited
2. Sahu Brothers Private Limited

This corporate action aims to streamline the company's structure and shareholding.

Meeting Schedule

The company has set the following timeline for the meetings on November 15, 2025:

All meetings will be conducted through video conferencing to ensure wider participation.

Key Details

• The NCLT Ahmedabad Bench issued directions for these meetings on September 26, 2025.
• DCW's Board of Directors approved the scheme on February 13, 2025, subject to necessary approvals.
• Remote e-voting will be available from November 12-14, 2025, allowing stakeholders to cast their votes prior to the meetings.

Significance

This amalgamation scheme represents a significant corporate restructuring for DCW Limited. The company states that the merger will result in direct shareholding by the promoters in DCW, potentially reducing shareholding tiers and reinforcing the promoter group's engagement with the company.

Next Steps

Shareholders and creditors will vote on the proposed scheme during their respective meetings. The amalgamation will require approval from a majority of persons representing three-fourths in value of the stakeholders voting on the resolution.

Investors and stakeholders should carefully review the scheme documents and consider its potential impact on their interests before casting their votes.

DCW Limited has emphasized that the scheme will not affect the company's financial position or paid-up share capital, with all associated costs to be borne by the transferor companies or the promoter group.

As this corporate action progresses, market participants will be watching closely to see how it may influence DCW's operational efficiency and market position in the chemicals sector.

DCW Limited , a prominent chemical manufacturing company, has received a favorable appeal order from the Appellate Deputy Commissioner, Tirunelveli, significantly reducing its tax liability and penalty demands for VAT assessments from 2010-11 to 2013-14.

Substantial Reduction in Tax Liability

The appeal order has resulted in a dramatic decrease in DCW Limited's financial obligations:

• Tax Liability: Reduced from Rs. 1.82 crores to Rs. 14.65 lakhs
• Penalty Demands: Lowered from Rs. 2.01 crores to Rs. 7.33 lakhs

This reduction spans across four assessment years, providing substantial relief to the company.

Breakdown of Revised Demands

The company has provided a detailed breakdown of the revised tax and penalty demands for each assessment year:

Financial Impact and Next Steps

DCW Limited has confirmed that it will pay the accepted liability of Rs. 14.65 lakhs in tax and Rs. 7.33 lakhs in penalty. The company has already provided for these amounts in its books, ensuring minimal impact on its financial position.

The chemical manufacturer is now in the process of contacting the Commercial Tax Officer to adjust these amounts against pre-deposits made earlier. Additionally, DCW Limited is seeking refunds for the balance amount, which could potentially improve its cash position.

Timely Disclosure and Transparency

In compliance with regulatory requirements, DCW Limited promptly disclosed this development to the stock exchanges. The company explained that the slight delay in disclosure was due to the order being received on a weekend, with the review and disclosure process completed on the next working day.

This favorable outcome in the VAT appeal demonstrates DCW Limited's effective management of tax-related challenges and its commitment to transparent communication with stakeholders. The significant reduction in tax and penalty demands is likely to be viewed positively by investors and may contribute to improved financial stability for the company.