KRBL Limited , a prominent player in the agri-foods sector, is set to diversify its business portfolio by venturing into real estate development. The company's shareholders have given their approval for significant changes to the Memorandum of Association, paving the way for this strategic expansion.

Shareholders Approve Alteration in Object Clause

At the 32nd Annual General Meeting (AGM), KRBL Limited's shareholders approved the alteration of the Object Clause in the company's Memorandum of Association. This modification allows KRBL and its subsidiaries to engage in "real-estate development and allied activities."

New Business Objectives

The key change includes the insertion of a new sub-clause under Clause III(A) of the Memorandum of Association. This addition permits KRBL to:

• Acquire, develop, construct, lease, manage, and monetize immovable property
• Pursue real estate development independently or in collaboration with specialist partners

Strategic Rationale

KRBL's management views this expansion as a complementary growth engine to its established agri-foods business. The company aims to enhance long-term shareholder returns through this diversification strategy.

Realignment of Existing Clauses

In addition to the new business objective, KRBL has realigned its existing object clauses to comply with the Companies Act, 2013 format. This includes:

• Restructuring titles
• Adding new sub-clauses
• Deleting the existing 'Other objects' section

Other Key Developments

The AGM also saw the approval of several other important resolutions:

1. Appointment of M/s. DMK Associates as Secretarial Auditors for a five-year term
2. Declaration of a final dividend of ₹3.50 per equity share
3. Reappointment of Mr. Arun Kumar Gupta as a director
4. Appointment of Mr. Desh Raj Dogra as an Independent Non-Executive Director

Conclusion

KRBL Limited's move into real estate development marks a significant shift in its business strategy. While maintaining its strong presence in the agri-foods sector, the company is positioning itself for diversified growth opportunities in the real estate market. Shareholders' approval of these changes reflects their confidence in the company's strategic direction and potential for enhanced returns in the future.

The company has also appointed M/s. AZB & Partners as an independent law firm to review certain observations and submit a report to the relevant Board Committee, demonstrating KRBL's commitment to transparency and corporate governance.

KRBL Limited , a prominent player in the Indian rice industry, has taken significant steps towards enhancing its corporate governance practices. The company has announced two major appointments: Mr. Desh Raj Dogra as an Independent Non-Executive Director and AZB & Partners as an independent law firm for a review.

Appointment of Desh Raj Dogra

KRBL Limited has appointed Mr. Desh Raj Dogra as an Independent Non-Executive Director, effective July 04, for a five-year term. This appointment was approved by shareholders at the 32nd Annual General Meeting held on September 24.

Mr. Dogra brings over 40 years of financial sector experience to KRBL. He retired as Managing Director and CEO of CARE Ratings Limited in 2016. During his tenure at CARE, he led the company's public listing in December 2012 and spearheaded various strategic initiatives, including acquisitions and international expansions.

Holding degrees in Agriculture from Himachal Pradesh University and an MBA from the University of Delhi, Mr. Dogra also serves as an Independent Director on multiple corporate boards, including IDFC First Bank and L&T Finance.

Appointment of AZB & Partners

In addition to Mr. Dogra's appointment, KRBL Limited has engaged AZB & Partners, a renowned law firm, to conduct an independent review of certain observations and submit a report to the relevant Board Committee.

Appointment Details

According to a disclosure made under SEBI listing regulations, this appointment follows an earlier intimation dated September 15, indicating that the company had been considering this move for some time.

Purpose of the Review

The primary objective of this appointment is to undertake a thorough review of unspecified observations. While the exact nature of these observations has not been disclosed, the engagement of an independent law firm suggests that KRBL Limited is committed to addressing potential concerns or issues in a transparent and professional manner.

Regulatory Compliance

The company's action aligns with Regulation 30 of SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015. This regulation mandates prompt disclosure of material events or information to the stock exchanges, ensuring transparency for investors and stakeholders.

Company's Statement

Piyush Asija, Company Secretary and Compliance Officer of KRBL Limited, stated in the official communication:

"We have appointed M/s. AZB & Partners as the independent law firm to undertake a thorough review of the observations and submit their report to the relevant Board Committee."

Implications for Stakeholders

These moves by KRBL Limited demonstrate the company's commitment to maintaining high standards of corporate governance. By appointing an experienced independent director and engaging a reputable law firm, KRBL aims to ensure unbiased oversight and a comprehensive review of the matters at hand.

Investors and stakeholders will likely view these steps positively, as they reflect the company's proactive approach to addressing potential issues and maintaining transparency in its operations.

As the review process unfolds and Mr. Dogra assumes his new role, market participants will be keenly awaiting the outcomes and any subsequent actions that KRBL Limited may take based on these developments.

The company has not provided a timeline for the completion of the review or the submission of the report. Stakeholders are advised to stay tuned for further updates from KRBL Limited regarding these matters.