Popees Care Limited (formerly known as Archana Software Limited) has announced a significant capital restructuring plan aimed at addressing its accumulated losses and improving its financial position. The company's Board of Directors approved a Scheme of Reduction of Share Capital on June 6, 2025, which will be presented for shareholder approval at the upcoming Annual General Meeting (AGM) scheduled for September 16, 2025.

Key Details of the Proposed Capital Reduction

• The company plans to reduce its paid-up share capital by 99%, from Rs. 6,04,42,500 to Rs. 6,02,180.
• This reduction will be achieved by writing off Rs. 5,96,15,820 of fully paid-up capital and Rs. 2,24,500 of partly paid-up share capital against the company's accumulated losses of Rs. 6,69,03,332.
• Post-reduction, the company's share capital will consist of 60,218 fully paid-up equity shares of Rs. 10 each, down from the current 60,44,250 shares.
• The scheme proposes that shareholders will receive 1 equity share of Rs. 10 for every 100 shares currently held.

Rationale Behind the Move

Popees Care Limited has been facing financial challenges, with accumulated losses of Rs. 6,69,03,332 as of March 31, 2025. The company's net worth stands at a negative Rs. 64,60,832, indicating severe financial strain.

The management believes this capital reduction will:

1. More accurately represent the company's financial position
2. Facilitate efforts to raise funds and obtain debt from financial institutions
3. Enable the company to approach investors for fresh capital infusion
4. Provide a cleaner balance sheet for potential business growth

Impact on Shareholders and Creditors

The company has emphasized that the proposed reduction will not alter the shareholding pattern or involve any payout to shareholders. It also does not envisage any impact on creditors' claims or outstanding dues.

Regulatory Process and Timeline

The capital reduction scheme requires approval from:

1. Shareholders at the upcoming AGM on September 16, 2025
2. The National Company Law Tribunal (NCLT)
3. Other regulatory authorities as applicable

Popees Care Limited has stated that it will file the necessary applications with the NCLT and other relevant authorities to implement the scheme once shareholder approval is obtained.

Management's Perspective

Mr. Shaju Thomas, Director of Popees Care Limited, commented on the proposed scheme: "This capital reduction is a crucial step towards restructuring our balance sheet and positioning the company for future growth. By addressing our accumulated losses, we aim to create a more attractive proposition for potential investors and lenders."

The company's management is optimistic that this move will lay the foundation for a turnaround in its financial performance and enable it to pursue new business opportunities in the coming years.

Shareholders are advised to carefully review the detailed scheme document and seek independent financial advice before voting on the proposal at the upcoming AGM.

Popees Care (Scrip Code: 530565) has made several key announcements following a board meeting held on August 14, 2025. The company's Board of Directors convened to discuss and approve various important matters, including financial results and upcoming corporate events.

Quarterly Financial Results

The board approved the unaudited financial statements for the quarter ended June 30, 2025. These statements were accompanied by a Limited Review Report, adhering to regulatory requirements. While specific financial figures were not disclosed in the announcement, the approval of these statements marks an important milestone in the company's financial reporting cycle.

Annual General Meeting Details

Popees Care has scheduled its Annual General Meeting (AGM) for the financial year 2024-25. The AGM will take place on Tuesday, September 16, 2025, at 12:00 p.m. In line with modern corporate practices, the meeting will be conducted via video conferencing or other audio-visual means, ensuring wider accessibility for shareholders.

E-Voting Arrangements

To facilitate shareholder participation, the company has made several decisions regarding the voting process:

• A cut-off date will be established to determine shareholders' voting rights.
• Central Depository Services (India) Limited has been appointed as the e-voting facilitator.
• M/s. Lakshmmi Subramanian & Associates will serve as the scrutinizer for the e-voting process.

These measures aim to ensure a transparent and efficient voting mechanism for the upcoming AGM.

Corporate Governance Documents

The board has also approved key corporate governance documents, including:

• The AGM notice
• The Board's Report along with all necessary annexures

These documents provide shareholders with essential information about the company's performance, governance practices, and future outlook.

Registered Office Relocation

In a significant operational move, Popees Care has decided to shift its registered office. The new address will be:

AMG Towers, No. 28, Lawyer Jaganathan Street, Alandur, Chennai – 600016

This relocation may indicate the company's strategic plans for growth or operational efficiency.

Board Meeting Details

The board meeting that resulted in these decisions commenced at 3:00 PM and concluded at 4:50 PM on August 14, 2025. The company's director, Shaju Thomas (DIN: 06412983), signed off on the official communication to the BSE Limited.

Investors and stakeholders of Popees Care should take note of these developments, particularly the upcoming AGM and the change in registered office address. The approval of the quarterly results also suggests that detailed financial information may be made available to the public in the near future, providing further insights into the company's performance.