Dhruva Capital Services Limited has announced a significant corporate development that could reshape its business structure. The company has scheduled a board meeting for September 12, 2025, to consider and potentially approve a merger with Vector Finance Private Limited.

Key Points of the Announcement

• Board Meeting Date: September 12, 2025
• Primary Agenda: Consider and approve the merger of Vector Finance Private Limited with Dhruva Capital Services Limited
• Additional Consideration: Review of the draft scheme of merger under the Companies Act, 2013

Merger Details

The proposed merger would involve Vector Finance Private Limited as the Transferor Company and Dhruva Capital Services Limited as the Transferee Company. This strategic move, if approved, could potentially lead to a consolidation of resources and operations between the two entities.

Approval Process

The merger is subject to a series of approvals, including:

1. Approval from the jurisdictional National Company Law Tribunal (NCLT)
2. Consent from shareholders of both companies
3. Approval from creditors of both entities, if applicable

Implications

While the specific details of the merger and its potential impact on Dhruva Capital Services' operations are yet to be disclosed, such corporate actions often aim to enhance operational efficiency, expand market presence, or consolidate financial strengths.

Management Statement

Shreeram Bagla, Whole-time Director of Dhruva Capital Services Limited, signed the official intimation to the BSE, underlining the importance of this potential corporate action.

Investors and stakeholders of Dhruva Capital Services Limited are advised to keep a close watch on further announcements regarding the outcome of the board meeting and subsequent developments in the merger process.

Disclaimer: This article is based on the official announcement made by Dhruva Capital Services Limited to the BSE. Investors are encouraged to conduct their own research and consult financial advisors before making investment decisions.

Dhruva Capital Services Limited , a financial services company, has reported a net loss of Rs 53.62 lakh for the quarter ended June 30, despite a significant increase in revenue. This marks a stark contrast to the profit of Rs 31.56 lakh recorded in the same period last year.

Financial Performance

The company's revenue from operations saw a substantial rise, increasing to Rs 79.18 lakh from Rs 45.92 lakh year-over-year. This growth was primarily driven by higher interest income, which accounted for the entirety of the operational revenue.

Despite the revenue growth, Dhruva Capital Services faced challenges that led to the reported loss:

1. Provision for Non-Performing Assets (NPA): A significant provision of Rs 55.57 lakh for NPAs was made during the quarter, which heavily impacted the bottom line.

2. Increased Expenses: Total expenses rose sharply to Rs 78.17 lakh from Rs 5.00 lakh in the previous year. Notable increases were observed in:

   • Employee benefits expenses: Rs 21.31 lakh (up from Rs 2.70 lakh)
   • Depreciation and amortization: Rs 9.43 lakh (up from Rs 0.15 lakh)
   • Other expenses: Rs 46.62 lakh (up from Rs 1.08 lakh)

Key Financial Metrics

Other Developments

In addition to the financial results, Dhruva Capital Services announced several key appointments:

1. Internal Auditor: M/s Vikash Chamaria & Company, Chartered Accountants, has been appointed as the internal auditor for the current financial year.

2. Secretarial Auditor: CS Niaz Ahmed, a practicing company secretary, has been appointed as the secretarial auditor for a term of five consecutive years, subject to shareholder approval.

The board of directors did not propose any dividend for the quarter.

Management Commentary

While the company did not provide specific management commentary, the significant provision for NPAs suggests a proactive approach to addressing potential credit risks in the loan portfolio.

The substantial increase in employee benefits expenses may indicate investments in human resources, possibly to support the company's growth initiatives or to strengthen its operational capabilities.

Investors and stakeholders will likely be watching closely to see how Dhruva Capital Services navigates these challenges and leverages its revenue growth in the coming quarters.