Shivam Autotech Limited has successfully concluded its postal ballot process, with shareholders demonstrating strong support for the company's strategic initiatives through overwhelming approval of all proposed resolutions. The company has also made an important disclosure regarding the upcoming preferential issue of optionally convertible debentures.

Postal Ballot Process and Participation

The postal ballot was conducted exclusively through remote e-voting from December 02, 2025 at 9:00 AM to December 31, 2025 at 5:00 PM. The company had 31,168 total shareholders on the record date of November 28, 2025. The voting process was managed by NSDL's e-voting platform, with CS Yogesh Kumar of Yogesh K & Associates serving as the scrutinizer.

A corrigendum was issued on December 16, 2025, allowing shareholders to modify their votes during the remaining voting period, with the final vote cast being considered for result determination.

Resolution-wise Voting Results

All five special resolutions received exceptional shareholder support, with approval rates consistently above 99.94%:

Key Approved Resolutions

The shareholders approved several critical corporate actions including approval for issuance of unlisted, secured, redeemable, optionally convertible debentures on a preferential basis, special rights grant to Alpha Alternative Structured Credit Opportunities Fund, articles of association amendment, enhanced borrowing capabilities under Section 180(1)(A), and investment and loan-making authorities under Section 180(1)(C) of the Companies Act 2013.

Promoter Non-Subscription Disclosure

In a regulatory filing dated January 07, 2025, Shivam Autotech Limited disclosed that none of the promoters, directors, key managerial personnel, or senior management personnel of the company intend to subscribe to any securities pursuant to the preferential issue of OCDs. This disclosure was made under Regulation 30 of SEBI Listing Regulations in furtherance to the postal ballot notice and corrigendum.

Compliance and Documentation

The postal ballot notice dated December 01, 2025 was disseminated through electronic mode in compliance with MCA circulars. The notice was made available on the company's website, stock exchange websites, and NSDL's e-voting platform. Company Secretary Shakti Kant Mahana confirmed the successful completion of the postal ballot process and signed the latest regulatory disclosure regarding the OCD issue.

Shivam Autotech Limited , a key player in the auto components sector, has received significant relief in a major regulatory matter. The company announced through an official regulatory disclosure that it has received a closure order dropping GST proceedings with NIL demand confirmed, resolving a substantial tax liability issue that had been a concern for stakeholders.

Official GST Case Resolution

The company received an order from the Additional Commissioner dropping proceedings initiated under Section 74 of the Central Goods and Services Tax Act, 2017. This development relates to Show Cause Notice No. 123/DIV-HDR/ADC/CGST/DDN/2025 that had proposed a substantial demand against the company.

Background of the GST Matter

The GST Show Cause Notice was issued alleging discrepancies between tax liability as per e-way bill portal data and tax liability reported in Form GSTR-3B. The notice covered three financial years from 2018-19 to 2020-21, with the original notice dated June 30, 2025.

The proposed demand and penalty, each amounting to ₹50.10 crore plus applicable interest, has been dropped in its entirety in favor of the company. The Additional Commissioner has passed a closure order completely resolving this regulatory concern.

Regulatory Disclosure Details

As per the company's disclosure under Regulation 30 of SEBI (LODR) Regulations, 2015, the Additional Commissioner has disposed of and dropped the proceedings initiated pursuant to the Show Cause Notice. The company had earlier informed exchanges about receiving the GST Show Cause Notice through a disclosure dated July 01, 2025.

Financial Performance Context

Despite this positive regulatory development, Shivam Autotech continues to face operational challenges. The company reported a total operating income of ₹453.98 crore with a PBILDT margin of 9.78%, but posted net losses of ₹48.04 crore.

Positive Developments

The GST case resolution removes a significant regulatory overhang that had been affecting investor sentiment. The company benefits from experienced promoters, strong operational linkages with Hero MotoCorp, and strategic manufacturing locations.

The management expects revenue improvement through better capacity utilization and is exploring fund-raising options to address liquidity constraints. This regulatory relief provides the company with one less challenge to navigate as it works toward operational and financial stabilization.