Dredging Corporation of India Limited has issued a comprehensive postal ballot notice seeking shareholder approval for significant corporate actions, including material related party transactions worth ₹1,900 crores and a substantial increase in authorized share capital.

Material Related Party Transactions for FY 2026-27

The company seeks approval for material related party transactions with four port authorities for Financial Year 2026-27, commencing from April 01, 2026. These transactions encompass dredging services, working capital arrangements, and other business activities conducted in the ordinary course of business on an arm's length basis.

These port authorities collectively hold 73.47% of the company's equity share capital, with individual holdings of 19.47%, 18%, 18%, and 18% respectively. The transactions include purchase or supply of goods, business assets, property, or equipment; availing or rendering of services; and transfer or exchange of resources to meet business objectives.

Historical Transaction Performance

The company's existing relationships with these port authorities have demonstrated substantial business volumes. In FY 2024-25, total transactions reached significant levels across all four entities.

For the current financial year up to the quarter preceding this approval, transaction values have continued at substantial levels, with Visakhapatnam Port Authority at 57.75 crore, Paradip Port Authority at 84.46 crore, Jawaharlal Nehru Port Authority at 63.99 crore, and Deendayal Port Authority at 105.45 crore.

Authorized Share Capital Enhancement

The company proposes to double its authorized share capital to support operational expansion and fleet augmentation. The increase will facilitate acquisition of additional dredgers and enhance operational capacity to meet growing market demands.

The new equity shares will rank pari passu with existing shares in all respects. This capital increase requires alteration of Clause V of the Memorandum of Association to reflect the enhanced authorized capital structure.

Postal Ballot Process and Timeline

The company has appointed Mr. Sachin Agarwal of M/s. Agarwal S. & Associates as scrutinizer, with Ms. Shweta Jain as alternate scrutinizer. National Securities Depository Limited will provide e-voting services, with KFin Technologies Limited serving as the registrar and transfer agent.

Regulatory Compliance and Governance

The transactions comply with Regulation 23(4) of SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, and have received approval from the Audit Committee and Board of Directors on February 27, 2026. The pricing methodology ensures arm's length basis through competitive bidding, market benchmarking, and published tariff guidelines.

The related port authorities, being promoters, will abstain from voting on these resolutions as required under listing regulations. The company has provided comprehensive disclosures in accordance with industry standards formulated in consultation with SEBI, ensuring transparency for informed shareholder decision-making.

Dredging Corporation of India Limited has announced the cessation of Shri Lov Verma, IAS (Retd.), as Independent Director of the company. The announcement was made through a regulatory filing to stock exchanges on February 28, 2026.

Director Cessation Details

The cessation became effective from February 28, 2026, marking the completion of Verma's three-year tenure as Independent Director. The company has confirmed that this represents a natural conclusion of his directorship term rather than any premature departure.

Board Committee Impact

Following his cessation as Independent Director, Verma simultaneously ceased to be a member of all Board Committees of the company with effect from February 28, 2026. This comprehensive departure affects his participation across the company's governance structure.

Regulatory Compliance

The company has submitted this information to both the Bombay Stock Exchange Limited and The National Stock Exchange of India Limited as required under Regulation 30 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015. Company Secretary P Chandra Kalabhini signed the regulatory filing on behalf of Dredging Corporation of India Limited.

The announcement ensures full transparency with shareholders and regulatory authorities regarding changes in the company's board composition and governance structure.