Gopal Iron & Steels Company (Gujarat) Limited has reported significant share transactions by members of its promoter group. The company, which specializes in iron and steel production, has seen multiple promoter group members reduce their stakes through open market transactions.

Key Transaction Details

These transactions took place on November 20 and November 17, as disclosed in the company's regulatory filings.

Impact on Shareholding

The sales have resulted in a reduction in the promoter group's overall stake in the company:

Regulatory Compliance

All sellers have filed the necessary disclosures under Regulation 29(2) of SEBI (Substantial Acquisition of Shares and Takeovers) Regulations, 2011. These disclosures are crucial for maintaining transparency in transactions involving promoter group members.

Company Overview

Gopal Iron & Steels Company (Gujarat) Limited has a total of 49,17,100 equity shares, each with a face value of Rs. 10. The company's total equity share capital stands at Rs. 4,91,71,000.

This significant share divestment by promoter group members could be of interest to investors and market analysts. The transactions have led to a notable decrease in the promoter group's collective shareholding, particularly with Mrs. Shardaben Govindbhai Patel and persons acting in concert reducing their stake by over 2%. While some promoters retain significant stakes, the overall reduction in promoter holding may have implications for the company's ownership structure.

Gopal Iron & Steels Company (Gujarat) Limited, a metal trading firm, has reported its unaudited financial results for the quarter ended September 30. The company's Board of Directors approved these results at a meeting held on November 11.

Key Financial Highlights

The company's financial performance for the quarter ended September 30 reveals some concerning trends:

Operational Challenges

The company's auditor's review report highlighted several significant issues:

1. Recurring Operational Losses: The company has been incurring recurring operational losses.
2. Asset Disposal: All plant, machinery, and other major fixed assets have been disposed of, leading to a discontinuation of operations.

Tax Liabilities

Gopal Iron & Steels Company faces substantial tax liabilities:

1. Income Tax Demands: Pending income tax demands totaling ₹916.77 lakhs, including:

   • ₹838.30 lakhs pending before the Supreme Court for assessment years 1996-97 and 1997-98.
   • Additional tax demands of ₹878.46 lakhs for various assessment years from 2006-07 to 2018-19.

2. Contingent Liabilities: The company has classified these tax demands as contingent liabilities based on legal assessment.

Financial Position

As of the reporting period:

• Paid-up Equity Share Capital: ₹4.91 crores
• Net Worth: ₹0.88 crores

Regulatory Compliance

Due to its current financial position, the company is exempt from certain SEBI listing regulations. Specifically, Regulations 17 to 27 and Regulation 46 (2)(b) to (i) and para C, D, and E of Schedule V do not apply to the company.

Management Commentary

Mrs. Kundanben Patel, Managing Director of Gopal Iron & Steels Company (Gujarat) Limited, signed off on the financial results. The management believes that the pending tax demands may be due to non-giving of appeal effects or pending rectification proceedings by the Assessing Officer.

The company's financial situation appears challenging, with significant operational losses and substantial tax liabilities. Investors and stakeholders may need to closely monitor the company's future plans and strategies for addressing these issues.